The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Blackbaud met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly and GAAP earnings per share contracted significantly.
Margins dropped across the board.
Blackbaud logged revenue of $120.1 million. The four analysts polled by S&P Capital IQ expected net sales of $119.8 million on the same basis. GAAP reported sales were 27% higher than the prior-year quarter's $94.7 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 $0.27. The three earnings estimates compiled by S&P Capital IQ forecast $0.24 per share. GAAP EPS of $0.07 for Q4 were 53% lower than the prior-year quarter's $0.15 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 53.6%, 190 basis points worse than the prior-year quarter. Operating margin was 8.2%, 640 basis points worse than the prior-year quarter. Net margin was 2.7%, 460 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $120.4 million. On the bottom line, the average EPS estimate is $0.23.
Next year's average estimate for revenue is $513.2 million. The average EPS estimate is $1.11.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 92 members out of 107 rating the stock outperform, and 15 members rating it underperform. Among 43 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 38 give Blackbaud a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Blackbaud is outperform, with an average price target of $26.33.
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