EPIQ Systems (Nasdaq: EPIQ) reported earnings on Nov. 2. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended Sep. 30 (Q3), EPIQ Systems met expectations on revenues and missed estimates on earnings per share.

Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share grew significantly.

Gross margins dropped, operating margins increased, net margins grew.

Revenue details
EPIQ Systems notched revenue of $83.9 million. The three analysts polled by S&P Capital IQ predicted revenue of $84.4 million on the same basis. GAAP reported sales were 20% higher than the prior-year quarter's $69.8 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at $0.24. The three earnings estimates compiled by S&P Capital IQ averaged $0.26 per share. GAAP EPS of $0.31 for Q3 were 158% higher than the prior-year quarter's $0.12 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 59.0%, 560 basis points worse than the prior-year quarter. Operating margin was 11.0%, 120 basis points better than the prior-year quarter. Net margin was 13.4%, 730 basis points better than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $91.8 million. On the bottom line, the average EPS estimate is $0.25.

Next year's average estimate for revenue is $362.1 million. The average EPS estimate is $0.96.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 159 members out of 178 rating the stock outperform, and 19 members rating it underperform. Among 50 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 44 give EPIQ Systems a green thumbs-up, and six give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on EPIQ Systems is outperform, with an average price target of $14.00.

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