Abaxis's Earnings Beat Last Year's by 43%

Just the facts, Fool.

Seth Jayson
Seth Jayson
Apr 26, 2013 at 12:00AM
Other

Abaxis (Nasdaq: ABAX) reported earnings on April 25. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q4), Abaxis missed estimates on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue expanded significantly. GAAP earnings per share increased significantly.

Gross margins contracted, operating margins grew, net margins grew.

Revenue details
Abaxis reported revenue of $50.0 million. The eight analysts polled by S&P Capital IQ foresaw revenue of $52.5 million on the same basis. GAAP reported sales were 17% higher than the prior-year quarter's $42.7 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 $0.30. The nine earnings estimates compiled by S&P Capital IQ forecast $0.26 per share. GAAP EPS of $0.30 for Q4 were 43% higher than the prior-year quarter's $0.21 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 52.4%, 230 basis points worse than the prior-year quarter. Operating margin was 18.0%, 290 basis points better than the prior-year quarter. Net margin was 13.4%, 240 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $50.1 million. On the bottom line, the average EPS estimate is $0.25.

Next year's average estimate for revenue is $210.3 million. The average EPS estimate is $1.11.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 164 members out of 180 rating the stock outperform, and 16 members rating it underperform. Among 42 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 38 give Abaxis a green thumbs-up, and four give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Abaxis is outperform, with an average price target of $46.13.

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