The 10-second takeaway
For the quarter ended Dec. 31 (Q2), Vistaprint beat slightly on revenues and crushed expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly and GAAP earnings per share dropped significantly.
Gross margins grew, operating margins shrank, net margins shrank.
Vistaprint logged revenue of $348.3 million. The 12 analysts polled by S&P Capital IQ anticipated sales of $341.7 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $299.9 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 $1.02. The 13 earnings estimates compiled by S&P Capital IQ predicted $0.75 per share. GAAP EPS of $0.66 for Q2 were 20% lower than the prior-year quarter's $0.82 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 67.2%, 40 basis points better than the prior-year quarter. Operating margin was 9.5%, 190 basis points worse than the prior-year quarter. Net margin was 6.6%, 400 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $294.0 million. On the bottom line, the average EPS estimate is $0.37.
Next year's average estimate for revenue is $1.18 billion. The average EPS estimate is $1.74.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 262 members out of 320 rating the stock outperform, and 58 members rating it underperform. Among 101 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 82 give Vistaprint a green thumbs-up, and 19 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Vistaprint is hold, with an average price target of $32.77.
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