The 10-second takeaway
For the quarter ended Sep. 30 (Q3), NII Holdings met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted and GAAP loss per share grew.
Margins shrank across the board.
NII Holdings logged revenue of $1.49 billion. The nine analysts polled by S&P Capital IQ foresaw a top line of $1.49 billion on the same basis. GAAP reported sales were 15% lower than the prior-year quarter's $1.75 billion.
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 -$0.48. The nine earnings estimates compiled by S&P Capital IQ forecast -$0.27 per share. GAAP EPS were -$0.48 for Q3 compared to -$0.02 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 57.7%, 300 basis points worse than the prior-year quarter. Operating margin was 2.2%, 990 basis points worse than the prior-year quarter. Net margin was -5.5%, 530 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.51 billion. On the bottom line, the average EPS estimate is -$0.41.
Next year's average estimate for revenue is $6.13 billion. The average EPS estimate is -$0.93.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 375 members out of 410 rating the stock outperform, and 35 members rating it underperform. Among 106 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 96 give NII Holdings a green thumbs-up, and 10 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on NII Holdings is hold, with an average price target of $10.70.
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