The 10-second takeaway
For the quarter ended June 30 (Q2), comScore beat expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue expanded significantly. Non-GAAP earnings per share contracted significantly. GAAP loss per share shrank.
Margins increased across the board.
comScore reported revenue of $69.9 million. The four analysts polled by S&P Capital IQ predicted revenue of $67.0 million on the same basis. GAAP reported sales were 16% higher than the prior-year quarter's $60.3 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
EPS came in at $0.26. The four earnings estimates compiled by S&P Capital IQ forecast $0.22 per share. Non-GAAP EPS of $0.26 for Q2 were 30% lower than the prior-year quarter's $0.37 per share. GAAP EPS were -$0.01 for Q2 compared to -$0.20 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures are normalized by S&P Capital IQ and may vary to maintain comparability with normalized estimates.
For the quarter, gross margin was 69.1%, 290 basis points better than the prior-year quarter. Operating margin was -0.2%, 410 basis points better than the prior-year quarter. Net margin was -0.6%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $72.0 million. On the bottom line, the average EPS estimate is $0.30.
Next year's average estimate for revenue is $285.3 million. The average EPS estimate is $1.07.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 102 members out of 123 rating the stock outperform, and 21 members rating it underperform. Among 29 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 26 give comScore a green thumbs-up, and three give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on comScore is outperform, with an average price target of $21.00.
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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. The Motley Fool has no position in any of the stocks mentioned. 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.