Tempur-Pedic International (NYSE: TPX) reported earnings on May 2. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q1), Tempur-Pedic International beat expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue increased slightly. Non-GAAP earnings per share dropped significantly. GAAP earnings per share shrank significantly.

Margins dropped across the board.

Revenue details
Tempur-Pedic International booked revenue of $390.1 million. The four analysts polled by S&P Capital IQ expected revenue of $381.3 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 $0.62. The eight earnings estimates compiled by S&P Capital IQ predicted $0.60 per share. Non-GAAP EPS of $0.62 for Q1 were 28% lower than the prior-year quarter's $0.86 per share. GAAP EPS of $0.20 for Q1 were 77% lower than the prior-year quarter's $0.86 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 48.3%, 530 basis points worse than the prior-year quarter. Operating margin was 11.4%, much worse than the prior-year quarter. Net margin was 3.2%, much worse than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $669.3 million. On the bottom line, the average EPS estimate is $0.42.

Next year's average estimate for revenue is $2.51 billion. The average EPS estimate is $2.79.

Investor sentiment
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 608 members out of 659 rating the stock outperform, and 51 members rating it underperform. Among 196 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 188 give Tempur-Pedic International a green thumbs-up, and eight give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Tempur-Pedic International is outperform, with an average price target of $49.00.

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