The 10-second takeaway
For the quarter ended June 30 (Q2), Informatica met expectations on revenues and met expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share grew. GAAP earnings per share shrank.
Margins dropped across the board.
Informatica logged revenue of $222.4 million. The 24 analysts polled by S&P Capital IQ looked for a top line of $220.7 million on the same basis. GAAP reported sales were 17% higher than the prior-year quarter's $190.5 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 $0.31. The 25 earnings estimates compiled by S&P Capital IQ predicted $0.31 per share. Non-GAAP EPS of $0.31 for Q2 were 6.9% higher than the prior-year quarter's $0.29 per share. GAAP EPS of $0.16 for Q2 were 11% lower than the prior-year quarter's $0.18 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 82.5%, 30 basis points worse than the prior-year quarter. Operating margin was 11.5%, 330 basis points worse than the prior-year quarter. Net margin was 8.2%, 230 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $222.6 million. On the bottom line, the average EPS estimate is $0.32.
Next year's average estimate for revenue is $920.6 million. The average EPS estimate is $1.42.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 215 members out of 234 rating the stock outperform, and 19 members rating it underperform. Among 68 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 66 give Informatica 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 Informatica is outperform, with an average price target of $38.56.
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