The 10-second takeaway
For the quarter ended Dec. 31 (Q3), Panasonic missed estimates on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share increased. The profit was a surprise, as analysts had predicted a loss.
Margins grew across the board.
Panasonic tallied revenue of $20.83 billion. The six analysts polled by S&P Capital IQ predicted revenue of $21.79 billion on the same basis. GAAP reported sales were 18% lower than the prior-year quarter's $25.48 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 $0.31. The one earnings estimate compiled by S&P Capital IQ predicted -$0.18 per share. GAAP EPS were $0.31 for Q3 against -$1.11 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 25.5%, 140 basis points better than the prior-year quarter. Operating margin was 1.9%, 230 basis points better than the prior-year quarter. Net margin was 3.4%, 1,350 basis points better than the prior-year quarter.
Next quarter's average estimate for revenue is $19.73 billion. On the bottom line, the average EPS estimate is -$0.24.
Next year's average estimate for revenue is $79.76 billion. The average EPS estimate is -$4.15.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 239 members out of 276 rating the stock outperform, and 37 members rating it underperform. Among 66 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 56 give Panasonic 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 Panasonic is outperform, with an average price target of $7.03.
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