The 10-second takeaway
For the quarter ended March 31 (Q4), Plantronics beat expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew. Non-GAAP earnings per share increased. GAAP earnings per share increased significantly.
Gross margins contracted, operating margins grew, net margins grew.
Plantronics reported revenue of $204.2 million. The eight analysts polled by S&P Capital IQ expected to see revenue of $192.5 million on the same basis. GAAP reported sales were 15% higher than the prior-year quarter's $177.6 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 $0.71. The 10 earnings estimates compiled by S&P Capital IQ predicted $0.70 per share. Non-GAAP EPS of $0.71 for Q4 were 15% higher than the prior-year quarter's $0.62 per share. GAAP EPS of $0.67 for Q4 were 22% higher than the prior-year quarter's $0.55 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 52.0%, 160 basis points worse than the prior-year quarter. Operating margin was 18.3%, 30 basis points better than the prior-year quarter. Net margin was 14.1%, 60 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $195.9 million. On the bottom line, the average EPS estimate is $0.72.
Next year's average estimate for revenue is $808.0 million. The average EPS estimate is $2.98.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 128 members out of 138 rating the stock outperform, and 10 members rating it underperform. Among 58 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 57 give Plantronics a green thumbs-up, and one give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Plantronics is outperform, with an average price target of $44.79.
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