Research In Motion Goes Red
Jun 29th 2012 11:20AM
Updated Jun 29th 2012 11:24AM
Research In Motion (NAS: RIMM) reported earnings on June 28. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 2 (Q1), Research In Motion missed estimates on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue shrank significantly and GAAP earnings per share contracted to a loss.
Margins dropped across the board.
Research In Motion reported revenue of $2.81 billion. The 37 analysts polled by S&P Capital IQ expected to see net sales of $3.04 billion on the same basis. GAAP reported sales were 43% lower than the prior-year quarter's $4.91 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at -$0.37. The 38 earnings estimates compiled by S&P Capital IQ averaged -$0.06 per share. GAAP EPS were -$0.99 for Q1 versus $1.33 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 28.0%, 1,590 basis points worse than the prior-year quarter. Operating margin was -10.9%, 2,920 basis points worse than the prior-year quarter. Net margin was -18.4%, 3,260 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $2.47 billion. On the bottom line, the average EPS estimate is -$0.46.
Next year's average estimate for revenue is $10.12 billion. The average EPS estimate is -$1.50.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 4,479 members out of 5,808 rating the stock outperform, and 1,335 members rating it underperform. Among 1,054 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 735 give Research In Motion a green thumbs-up, and 319 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Research In Motion is hold, with an average price target of $12.54.
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The article Research In Motion Goes Red originally appeared on Fool.com.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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