The 10-second takeaway
For the quarter ended March 31 (Q1), Responsys beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue increased significantly. Non-GAAP earnings per share was unchanged. GAAP earnings per share contracted.
Gross margins increased, operating margins dropped, net margins dropped.
Responsys recorded revenue of $48.5 million. The six analysts polled by S&P Capital IQ hoped for a top line of $44.2 million on the same basis. GAAP reported sales were 27% higher than the prior-year quarter's $38.1 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 $0.07. The seven earnings estimates compiled by S&P Capital IQ predicted $0.05 per share. Non-GAAP EPS of $0.07 were the same as the prior-year quarter. GAAP EPS of $0.03 for Q1 were 25% lower than the prior-year quarter's $0.04 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 55.5%, 110 basis points better than the prior-year quarter. Operating margin was 6.6%, 300 basis points worse than the prior-year quarter. Net margin was 3.1%, 240 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $46.1 million. On the bottom line, the average EPS estimate is $0.02.
Next year's average estimate for revenue is $192.0 million. The average EPS estimate is $0.18.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Responsys is outperform, with an average price target of $11.63.
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