The 10-second takeaway
For the quarter ended Sep. 30 (Q3), Jazz Pharmaceuticals missed slightly on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share dropped significantly.
Margins dropped across the board.
Jazz Pharmaceuticals reported revenue of $175.5 million. The nine analysts polled by S&P Capital IQ anticipated sales of $178.8 million on the same basis. GAAP reported sales were much higher than the prior-year quarter's $73.3 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 $1.34. The 10 earnings estimates compiled by S&P Capital IQ forecast $1.31 per share. GAAP EPS of $0.55 for Q3 were 20% lower than the prior-year quarter's $0.69 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 81.4%, 1,330 basis points worse than the prior-year quarter. Operating margin was 31.5%, 2,270 basis points worse than the prior-year quarter. Net margin was 18.9%, 2,540 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $195.8 million. On the bottom line, the average EPS estimate is $1.47.
Next year's average estimate for revenue is $611.4 million. The average EPS estimate is $4.77.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 208 members out of 274 rating the stock outperform, and 66 members rating it underperform. Among 72 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 50 give Jazz Pharmaceuticals a green thumbs-up, and 22 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Jazz Pharmaceuticals is buy, with an average price target of $67.38.
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