On May 8, speech-recognition software maker Nuance Communications (NASDAQ:NUAN) released second-quarter earnings for the period ended March 31.
- Revenue for the Motley Fool Hidden Gems recommendation increased by 84% as the company experienced solid growth in each of its business lines, particularly in health care and embedded speech.
- The stock carries a solid four-star rating in Motley Fool CAPS.
(Figures in millions, except per-share data)
Income Statement Highlights
|
Q2 2007 |
Q2 2006 |
Change | |
|---|---|---|---|
|
Sales |
$132.1 |
$71.7 |
84.1% |
|
Net Profit |
($1.7) |
($1.4) |
N/A |
|
EPS |
($0.01) |
($0.01) |
N/A |
|
Diluted Shares |
171.7 |
163.4 |
5.1% |
Get back to basics with the income statement.
Margin Checkup
|
Q2 2007 |
Q2 2006 |
Change* | |
|---|---|---|---|
|
Gross Margin |
66.6% |
71.8% |
(5.3) |
|
Operating Margin |
4.4% |
2.3% |
2.1 |
|
Net Margin |
(1.3%) |
(1.9%) |
0.6 |
Margins are the earnings engine.
Balance Sheet Highlights
|
Assets |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Cash + ST Invest. |
$89.2 |
$71.3 |
25.1% |
|
Accounts Rec. |
$122.7 |
$104.7 |
17.2% |
|
Liabilities |
Q2 2007 |
Q2 2006 |
Change |
|---|---|---|---|
|
Accounts Payable* |
$90.1 |
$74.2 |
21.5% |
|
Long-Term Debt |
$348.7 |
$351.5 |
(0.8%) |
The balance sheet reflects the company's health.
Cash Flow Highlights
Unfortunately, management stiffed us on the cash flow data.
Free cash flow is a Fool's best friend.
Related Foolishness:
Nuance Communications is a Motley Fool Hidden Gems pick. Find out why with a 30-day free trial of the newsletter.
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.
