The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Yandex missed slightly on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share grew significantly.
Gross margins shrank, operating margins expanded, net margins contracted.
Yandex recorded revenue of $231.9 million. The eight analysts polled by S&P Capital IQ wanted to see sales of $236.3 million on the same basis. GAAP reported sales were 45% higher than the prior-year quarter's $160.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.20. The five earnings estimates compiled by S&P Capital IQ averaged $0.20 per share. GAAP EPS of $0.22 for Q3 were 38% higher than the prior-year quarter's $0.16 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 74.6%, 30 basis points worse than the prior-year quarter. Operating margin was 35.0%, 50 basis points better than the prior-year quarter. Net margin was 31.5%, 150 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $286.8 million. On the bottom line, the average EPS estimate is $0.26.
Next year's average estimate for revenue is $922.4 million. The average EPS estimate is $0.81.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 108 members out of 121 rating the stock outperform, and 13 members rating it underperform. Among 42 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 35 give Yandex a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Yandex is outperform, with an average price target of $29.44.
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