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Fairchild Semiconductor International Meets on the Top Line, Misses Where it Counts

By Seth Jayson - Updated Apr 10, 2017 at 1:51PM

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Just the facts, Fool.

Fairchild Semiconductor International (NYSE: FCS) reported earnings on April 18. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Fairchild Semiconductor International met expectations on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue contracted slightly. Non-GAAP earnings per share contracted to a loss. GAAP earnings per share contracted to zero.

Margins dropped across the board.

Revenue details
Fairchild Semiconductor International tallied revenue of $343.2 million. The 13 analysts polled by S&P Capital IQ predicted a top line of $340.8 million 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 details
EPS came in at -$0.02. The 15 earnings estimates compiled by S&P Capital IQ predicted $0.04 per share. Non-GAAP EPS were -$0.02 for Q1 versus $0.06 per share for the prior-year quarter. GAAP EPS contracted to zero from the prior-year quarter's $0.01.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 26.9%, 290 basis points worse than the prior-year quarter. Operating margin was -1.6%, 310 basis points worse than the prior-year quarter. Net margin was -0.1%, 60 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $359.1 million. On the bottom line, the average EPS estimate is $0.13.

Next year's average estimate for revenue is $1.46 billion. The average EPS estimate is $0.62.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Fairchild Semiconductor International is outperform, with an average price target of $16.46.

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