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The Gory Details on JDS Uniphase's Double Fumble

By Seth Jayson – Updated Apr 10, 2017 at 1:31PM

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Just the facts, Fool.

JDS Uniphase (Nasdaq: JDSU) reported earnings on May 1. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 30 (Q3), JDS Uniphase missed estimates on revenues and missed estimates on earnings per share.

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

Margins dropped across the board.

Revenue details
JDS Uniphase booked revenue of $405.3 million. The 10 analysts polled by S&P Capital IQ wanted to see sales of $417.4 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 $0.10. The 14 earnings estimates compiled by S&P Capital IQ averaged $0.11 per share. Non-GAAP EPS of $0.10 for Q3 were 9.1% lower than the prior-year quarter's $0.11 per share. GAAP EPS were -$0.12 for Q3 compared to -$0.08 per share for the prior-year quarter.

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 42.5%, 240 basis points worse than the prior-year quarter. Operating margin was -5.2%, 390 basis points worse than the prior-year quarter. Net margin was -6.9%, 260 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $444.5 million. On the bottom line, the average EPS estimate is $0.18.

Next year's average estimate for revenue is $1.71 billion. The average EPS estimate is $0.62.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 678 members out of 818 rating the stock outperform, and 140 members rating it underperform. Among 146 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 113 give JDS Uniphase a green thumbs-up, and 33 give it a red thumbs-down.

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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. 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.

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