The 10-second takeaway
For the quarter ended March 31 (Q1), Life Technologies met expectations on revenues and beat slightly on earnings per share.
Compared to the prior-year quarter, revenue grew slightly. Non-GAAP earnings per share grew. GAAP earnings per share shrank.
Margins contracted across the board.
Life Technologies logged revenue of $962.5 million. The 17 analysts polled by S&P Capital IQ expected to see sales of $958.1 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 came in at $1.07. The 20 earnings estimates compiled by S&P Capital IQ predicted $1.05 per share. Non-GAAP EPS of $1.07 for Q1 were 8.1% higher than the prior-year quarter's $0.99 per share. GAAP EPS of $0.69 for Q1 were 4.2% lower than the prior-year quarter's $0.72 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 66.1%, 50 basis points worse than the prior-year quarter. Operating margin was 21.8%, 70 basis points worse than the prior-year quarter. Net margin was 12.6%, 150 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $968.9 million. On the bottom line, the average EPS estimate is $0.98.
Next year's average estimate for revenue is $3.88 billion. The average EPS estimate is $4.22.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 224 members out of 239 rating the stock outperform, and 15 members rating it underperform. Among 59 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 57 give Life Technologies a green thumbs-up, and two give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Life Technologies is hold, with an average price target of $63.83.
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