The 10-second takeaway
For the quarter ended June 30 (Q2), 3D Systems beat expectations on revenues and missed estimates on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly. GAAP earnings per share dropped.
Gross margins grew, operating margins contracted, net margins shrank.
3D Systems reported revenue of $120.8 million. The nine analysts polled by S&P Capital IQ foresaw a top line of $114.4 million on the same basis. GAAP reported sales were 44% higher than the prior-year quarter's $83.6 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 $0.10. The four earnings estimates compiled by S&P Capital IQ predicted $0.16 per share. GAAP EPS of $0.10 for Q2 were 9.1% lower than the prior-year quarter's $0.11 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 51.8%, 40 basis points better than the prior-year quarter. Operating margin was 13.9%, 360 basis points worse than the prior-year quarter. Net margin was 7.7%, 230 basis points worse than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $130.4 million. On the bottom line, the average EPS estimate is $0.19.
Next year's average estimate for revenue is $494.4 million. The average EPS estimate is $0.62.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on 3D Systems is outperform, with an average price target of $48.44.
Is 3D Systems the best tech stock for you? You may be missing something obvious. Check out the semiconductor company that Motley Fool analysts expect to lead "The Next Trillion-dollar Revolution." Click here for instant access to this free report.
- Add 3D Systems to My Watchlist.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool recommends 3D Systems. The Motley Fool owns shares of 3D Systems and has the following options: short January 2014 $36 calls on 3D Systems and short January 2014 $20 puts on 3D Systems. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.