The 10-second takeaway
For the quarter ended March 31 (Q1), Proto Labs beat slightly on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share expanded significantly. GAAP earnings per share expanded significantly.
Margins grew across the board.
Proto Labs reported revenue of $37.3 million. The seven analysts polled by S&P Capital IQ looked for sales of $36.9 million on the same basis. GAAP reported sales were 25% higher than the prior-year quarter's $30.0 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 $0.35. The eight earnings estimates compiled by S&P Capital IQ forecast $0.32 per share. Non-GAAP EPS of $0.35 for Q1 were 59% higher than the prior-year quarter's $0.22 per share. GAAP EPS of $0.32 for Q1 were 45% higher than the prior-year quarter's $0.22 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 62.4%, 330 basis points better than the prior-year quarter. Operating margin was 30.5%, 500 basis points better than the prior-year quarter. Net margin was 22.2%, 620 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $40.1 million. On the bottom line, the average EPS estimate is $0.34.
Next year's average estimate for revenue is $161.2 million. The average EPS estimate is $1.38.
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 152 members out of 170 rating the stock outperform, and 18 members rating it underperform. Among 48 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 39 give Proto Labs a green thumbs-up, and nine give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Proto Labs is outperform, with an average price target of $54.71.
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