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TAL International Group Beats on Revenue, Matches Expectations on EPS

By Seth Jayson - Updated Apr 10, 2017 at 1:41PM

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Just the facts, Fool.

TAL International Group (NYSE: TAL) reported earnings on April 24. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), TAL International Group beat slightly on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share grew. GAAP earnings per share increased.

Gross margins shrank, operating margins contracted, net margins increased.

Revenue details
TAL International Group logged revenue of $156.1 million. The eight analysts polled by S&P Capital IQ looked for a top line of $153.2 million on the same basis. GAAP reported sales were 13% higher than the prior-year quarter's $138.3 million.

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 $1.05. The 11 earnings estimates compiled by S&P Capital IQ forecast $1.05 per share. Non-GAAP EPS of $1.05 for Q1 were 14% higher than the prior-year quarter's $0.92 per share. GAAP EPS of $1.12 for Q1 were 14% higher than the prior-year quarter's $0.98 per share.

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 86.2%, 70 basis points worse than the prior-year quarter. Operating margin was 47.0%, 690 basis points worse than the prior-year quarter. Net margin was 24.0%, 20 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $160.1 million. On the bottom line, the average EPS estimate is $1.10.

Next year's average estimate for revenue is $649.3 million. The average EPS estimate is $4.49.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on TAL International Group is outperform, with an average price target of $48.63.

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