The 10-second takeaway
For the quarter ended Dec. 29 (Q4), iRobot met expectations on revenues and exceeded expectations on earnings per share.
Compared to the prior-year quarter, revenue dropped significantly and GAAP earnings per share contracted to a loss.
Margins dropped across the board.
iRobot logged revenue of $100.7 million. The five analysts polled by S&P Capital IQ expected to see sales of $100.9 million on the same basis. GAAP reported sales were 23% lower than the prior-year quarter's $130.8 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 -$0.13. The two earnings estimates compiled by S&P Capital IQ averaged -$0.23 per share. GAAP EPS were -$0.21 for Q4 versus $0.38 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 41.1%, 180 basis points worse than the prior-year quarter. Operating margin was -8.8%, 2,030 basis points worse than the prior-year quarter. Net margin was -5.9%, 1,400 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $103.2 million. On the bottom line, the average EPS estimate is $0.08.
Next year's average estimate for revenue is $477.7 million. The average EPS estimate is $0.87.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 1,183 members out of 1,301 rating the stock outperform, and 118 members rating it underperform. Among 361 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 332 give iRobot a green thumbs-up, and 29 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on iRobot is hold, with an average price target of $22.90.
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