Smart Technologies Goes Red

Smart Technologies (NAS: SMT) reported earnings on Thursday. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 31 (Q4), Smart Technologies missed estimates on revenues and missed expectations on earnings per share.

Compared to the prior-year quarter, revenue dropped and GAAP earnings per share dropped to a loss.


Margins dropped across the board.

Revenue details
Smart Technologies reported revenue of $148.0 million. The five analysts polled by S&P Capital IQ anticipated revenue of $157.1 million on the same basis. GAAP reported sales were 12% lower than the prior-year quarter's $167.3 million.

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Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
EPS came in at -$0.04. The three earnings estimates compiled by S&P Capital IQ anticipated $0.03 per share. GAAP EPS were -$0.02 for Q4 compared to $0.06 per share for the prior-year quarter.

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Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
For the quarter, gross margin was 39.7%, 680 basis points worse than the prior-year quarter. Operating margin was -5.6%, 740 basis points worse than the prior-year quarter. Net margin was -1.8%, 630 basis points worse than the prior-year quarter.

Looking ahead
Next quarter's average estimate for revenue is $190.5 million. On the bottom line, the average EPS estimate is $0.14.

Next year's average estimate for revenue is $729.8 million. The average EPS estimate is $0.28.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 61 members rating the stock outperform and 11 members rating it underperform. Among 18 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 16 give Smart Technologies a green thumbs-up, and two give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Smart Technologies is hold, with an average price target of $6.49.

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At the time this article was published 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. 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.

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