The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Insight Enterprises met expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue contracted slightly and GAAP earnings per share shrank significantly.
Gross margins increased, operating margins shrank, net margins contracted.
Insight Enterprises tallied revenue of $1.35 billion. The two analysts polled by S&P Capital IQ foresaw sales of $1.34 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 $0.49. The two earnings estimates compiled by S&P Capital IQ predicted $0.57 per share. GAAP EPS of $0.46 for Q4 were 41% lower than the prior-year quarter's $0.78 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 13.4%, 20 basis points better than the prior-year quarter. Operating margin was 2.9%, 30 basis points worse than the prior-year quarter. Net margin was 1.5%, 100 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $1.22 billion. On the bottom line, the average EPS estimate is $0.38.
Next year's average estimate for revenue is $5.46 billion. The average EPS estimate is $2.29.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 108 members out of 118 rating the stock outperform, and 10 members rating it underperform. Among 45 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 44 give Insight Enterprises a green thumbs-up, and one give it a red thumbs-down.
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