The 10-second takeaway
For the quarter ended March 31 (Q2), Concur Technologies met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly. Non-GAAP earnings per share grew. GAAP loss per share grew.
Margins dropped across the board.
Concur Technologies logged revenue of $127.4 million. The 17 analysts polled by S&P Capital IQ anticipated revenue of $127.7 million on the same basis. GAAP reported sales were 18% higher than the prior-year quarter's $108.4 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 $0.25. The 20 earnings estimates compiled by S&P Capital IQ predicted $0.16 per share. Non-GAAP EPS of $0.25 for Q2 were 14% higher than the prior-year quarter's $0.22 per share. GAAP EPS were -$0.14 for Q2 versus -$0.09 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 71.3%, 80 basis points worse than the prior-year quarter. Operating margin was -2.6%, 720 basis points worse than the prior-year quarter. Net margin was -6.0%, 150 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $139.4 million. On the bottom line, the average EPS estimate is $0.24.
Next year's average estimate for revenue is $541.2 million. The average EPS estimate is $0.90.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 186 members out of 257 rating the stock outperform, and 71 members rating it underperform. Among 77 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 52 give Concur Technologies a green thumbs-up, and 25 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Concur Technologies is hold, with an average price target of $70.25.
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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. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.