The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Alcatel-Lucent met expectations on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted slightly and GAAP earnings per share dropped to a loss.
Margins dropped across the board.
Alcatel-Lucent tallied revenue of $5.40 billion. The 18 analysts polled by S&P Capital IQ anticipated revenue of $5.42 billion on the same basis. GAAP reported sales were the same as the prior-year quarter's.
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 -$0.70. The five earnings estimates compiled by S&P Capital IQ anticipated $0.00 per share. GAAP EPS were -$0.79 for Q4 against $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 30.4%, 400 basis points worse than the prior-year quarter. Operating margin was 1.6%, 350 basis points worse than the prior-year quarter. Net margin was -33.5%, 5,440 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $4.26 billion. On the bottom line, the average EPS estimate is -$0.12.
Next year's average estimate for revenue is $19.12 billion. The average EPS estimate is -$0.10.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 735 members out of 910 rating the stock outperform, and 175 members rating it underperform. Among 139 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 106 give Alcatel-Lucent a green thumbs-up, and 33 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Alcatel-Lucent is hold, with an average price target of $1.29.
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