On Oct. 26, Volcom
- Revenues and earnings per share beat analyst estimates.
- Revenues rose by 19.3%, but net profit dropped on lower margins. Selling, general, and administrative expenses alone increased 43%.
- Free cash flow declined by 3.6% because of increased capital spending, partially offset by a rise in cash from operations.
- Management raised high-end guidance for FY 2006 EPS to $1.17 from $1.14.
(Figures in thousands, except per-share data)
Income Statement Highlights
Avg. Est. |
Q3 2006 |
Q3 2005 |
Change |
|
---|---|---|---|---|
Sales |
$59,595 |
$61,049 |
$51,192 |
19.3% |
Net Profit* |
-- |
$10,163 |
$11,292 |
(10.0%) |
EPS |
$0.39 |
$0.42 |
$0.47 |
(10.6%) |
Diluted Shares |
-- |
24,235 |
24,066 |
0.7% |
Get back to basics with a look at the income statement.
Margin Checkup
Q3 2006 |
Q3 2005 |
Change* |
|
---|---|---|---|
Gross Margin |
50.63% |
51.00% |
(0.37) |
Operating Margin |
25.49% |
30.16% |
(4.67) |
Net Margin |
16.65% |
22.06% |
(5.41) |
Margins are the earnings engine. See how they work.
Balance Sheet Highlights
Assets |
Q3 2006 |
Q3 2005 |
Change |
---|---|---|---|
Cash + ST Invest. |
$84,561 |
$65,678 |
28.8% |
Accounts Rec. |
$35,978 |
$27,781 |
29.5% |
Inventory |
$12,706 |
$11,566 |
9.9% |
Liabilities |
Q3 2006 |
Q3 2005 |
Change |
---|---|---|---|
Accounts Payable |
$11,042 |
$6,906 |
59.9% |
Capital Leases |
$125 |
$202 |
(38.1%) |
Learn the ways of the balance sheet.
Cash Flow Highlights
YTD 2006 |
YTD 2005 |
Change |
|
---|---|---|---|
Cash From Ops. |
$18,104 |
$15,653 |
15.7% |
Capital Expenditures |
$5,693 |
$2,775 |
105.2% |
Free Cash Flow |
$12,411 |
$12,878 |
(3.6%) |
Find out why Fools always follow the money.
Related companies:
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Zumiez
(NASDAQ:ZUMZ) -
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(NASDAQ:PSUN) -
Quicksilver
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Related Foolishness:
Volcom and Zumiez are Motley Fool Hidden Gems recommendations. Pacific Sunwear is a Motley Fool Stock Advisor selection.For a fun new way to do research on stocks, check out CAPS, the Fool's new investment community.
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 check Fool.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.