The 10-second takeaway
For the quarter ended Dec. 28 (Q1), Skyworks Solutions met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share increased.
Gross margins dropped, operating margins contracted, net margins grew.
Skyworks Solutions chalked up revenue of $453.7 million. The 20 analysts polled by S&P Capital IQ foresaw sales of $450.4 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $393.7 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 $0.55. The 20 earnings estimates compiled by S&P Capital IQ forecast $0.54 per share. GAAP EPS of $0.34 for Q1 were 13% higher than the prior-year quarter's $0.30 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 42.4%, 120 basis points worse than the prior-year quarter. Operating margin was 19.4%, 170 basis points worse than the prior-year quarter. Net margin was 14.7%, 20 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $417.0 million. On the bottom line, the average EPS estimate is $0.46.
Next year's average estimate for revenue is $1.79 billion. The average EPS estimate is $2.09.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 684 members out of 720 rating the stock outperform, and 36 members rating it underperform. Among 154 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 145 give Skyworks Solutions a green thumbs-up, and nine give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Skyworks Solutions is outperform, with an average price target of $30.05.
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Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.