The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Boingo Wireless beat slightly on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue grew. GAAP earnings per share contracted significantly.
Margins contracted across the board.
Boingo Wireless reported revenue of $28.0 million. The six analysts polled by S&P Capital IQ hoped for revenue of $27.5 million on the same basis. GAAP reported sales were 8.1% higher than the prior-year quarter's $25.9 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 $0.03. The five earnings estimates compiled by S&P Capital IQ predicted $0.06 per share. GAAP EPS of $0.03 for Q4 were 40% lower than the prior-year quarter's $0.05 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 41.5%, 440 basis points worse than the prior-year quarter. Operating margin was 7.4%, 820 basis points worse than the prior-year quarter. Net margin was 4.1%, 340 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $24.8 million. On the bottom line, the average EPS estimate is $0.02.
Next year's average estimate for revenue is $112.9 million. The average EPS estimate is $0.15.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 73 members out of 78 rating the stock outperform, and five members rating it underperform. Among 17 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 15 give Boingo Wireless a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Boingo Wireless is outperform, with an average price target of $10.25.
Is Boingo Wireless the best telecom bet for you? Learn how to maximize your investment income and "Secure Your Future With 9 Rock-Solid Dividend Stocks," including one above-average telecom company. Click here for instant access to this free report.
- Add Boingo Wireless to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. TMFDisclosureHere