Novatel Wireless Earnings: Here’s Why Investors are Happy Now
Novatel Wireless Inc. (NASDAQ:NVTL) had a loss and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 1.39%.
Novatel Wireless Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased to $-0.2 in the quarter versus EPS of $-0.07 in the year-earlier quarter.
Revenue: Decreased 11.06% to $91.12 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Novatel Wireless Inc. reported adjusted EPS loss of $0.2 per share. By that measure, the company missed the mean analyst estimate of $-0.11. It missed the average revenue estimate of $93.23 million.
Quoting Management: “In the second quarter we made solid progress across both M2M and mobile computing, which again drove sequential revenue growth,” said Peter Leparulo, CEO of Novatel Wireless. “We continued to advance our M2M business, led by 19% sequential growth of our asset management, or integrated, solutions for our targeted vertical markets – fleet management, asset tracking, after market telematics and telemetry. During the quarter, we built upon our industry leading product portfolio with the announcement of our SA 2100 and MT 3060 product families.”
Key Stats (on next page)…