The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Trimble Navigation beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share grew.
Gross margins grew, operating margins dropped, net margins contracted.
Trimble Navigation reported revenue of $515.5 million. The 10 analysts polled by S&P Capital IQ expected to see revenue of $505.2 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $435.2 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 $0.57. The 10 earnings estimates compiled by S&P Capital IQ forecast $0.55 per share. GAAP EPS of $0.26 for Q4 were 8.3% higher than the prior-year quarter's $0.24 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 53.3%, 310 basis points better than the prior-year quarter. Operating margin was 5.9%, 300 basis points worse than the prior-year quarter. Net margin was 6.4%, 40 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $573.2 million. On the bottom line, the average EPS estimate is $0.75.
Next year's average estimate for revenue is $2.32 billion. The average EPS estimate is $3.05.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 408 members out of 428 rating the stock outperform, and 20 members rating it underperform. Among 98 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 91 give Trimble Navigation a green thumbs-up, and seven give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Trimble Navigation is outperform, with an average price target of $63.30.
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