M/A-Com Technology Solutions Holdings Beats Analyst Estimates on EPS

M/A-Com Technology Solutions Holdings (NAS: MTSI) reported earnings on April 30. Here are the numbers you need to know.

The 10-second takeaway
For the quarter ended March 29 (Q2), M/A-Com Technology Solutions Holdings met expectations on revenues and beat expectations on earnings per share.

Compared to the prior-year quarter, revenue was unchanged. Non-GAAP earnings per share shrank. GAAP earnings per share expanded.


Gross margins shrank, operating margins dropped, net margins expanded.

Revenue details
M/A-Com Technology Solutions Holdings logged revenue of $77.8 million. The eight analysts polled by S&P Capital IQ looked for revenue of $77.6 million on the same basis. GAAP reported sales were the same as the prior-year quarter's.

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 $0.24. The eight earnings estimates compiled by S&P Capital IQ predicted $0.22 per share. Non-GAAP EPS of $0.24 for Q2 were 14% lower than the prior-year quarter's $0.28 per share. GAAP EPS were $0.17 for Q2 against -$8.02 per share for the prior-year quarter.

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 43.5%, 370 basis points worse than the prior-year quarter. Operating margin was 16.0%, 560 basis points worse than the prior-year quarter. Net margin was 10.4%, much better than the prior-year quarter. (Margins calculated in GAAP terms.)

Looking ahead
Next quarter's average estimate for revenue is $80.3 million. On the bottom line, the average EPS estimate is $0.23.

Next year's average estimate for revenue is $316.6 million. The average EPS estimate is $0.92.

Investor sentiment

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on M/A-Com Technology Solutions Holdings is outperform, with an average price target of $19.19.

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The article M/A-Com Technology Solutions Holdings Beats Analyst Estimates on EPS 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. The Motley Fool has no position in any of the stocks mentioned. 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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