On Oct. 19, Tempur-Pedic International (NYSE:TPX) released third-quarter earnings for the period ending Sept. 30.

  • Revenues and EPS exceeded analyst estimates by 0.5% and 6.25%, respectively.
  • Increase in domestic, retail, and international sales increased total revenue by 16.9% to $241 million.
  • Increased net profit and a decreased share count led to an EPS increase by 100%.

(Figures in millions, except per-share data)

Income Statement Highlights

Avg. Est.

Q3 2006

Q3 2005

Change

Sales

$240

$241

$206

16.9%

Net Profit

--

$29

$17

66.2%

EPS

$0.32

$0.34

$0.17

100.0%

Diluted Shares

--

86

103

(17.1%)



Get back to basics with a look at the income statement.

Margin Checkup

Q3 2006

Q3 2005

Change*

Gross Margin

48.16%

49.74%

(1.58)

Operating Margin

22.31%

20.78%

1.53

Net Margin

11.98%

8.43%

3.55

*Expressed in percentage points.

Margins are the earnings engine. See how they work.

Balance Sheet Highlights

Assets

Q3 2006

Q3 2005

Change

Cash + ST Invest.

$15

$52

(70.9%)

Accounts Rec.

$136

$116

17.0%

Inventory

$64

$87

(26.9%)



Liabilities

Q3 2006

Q3 2005

Change

Accounts Payable

$38

$38

0.6%

Long-Term Debt

$354

$304

16.5%



Learn the ways of the balance sheet.

Cash Flow Highlights

YTD 2006

YTD 2005

Change

Cash From Ops.

$133

$79

68.3%

Capital Expenditures

$24

$68

(64.5%)

Free Cash Flow

$109

$11

896.0%



Find out why Fools always follow the money.

Related companies:

  • Select Comfort (NASDAQ:SCSS)
  • Sealy (NYSE:ZZ)

Related Foolishness:

Select Comfort is aMotley Fool Hidden Gems recommendation. To see why, take a30-dayfree trialstarting today.

Fool by Numbers is designed to give you the raw earnings information in a timely fashion, putting all the numbers you need in one easy-to-read place. But at The Motley Fool, we believe numbers tell only part of the story, so checkFool.com for more of our in-depth discussion of what the numbers mean. This data has been provided by Netscribes. To provide feedback on this article, please click on the "feedback" button below.