Sierra Wireless Earnings: Here’s Why Investors are Selling Shares Now
Sierra Wireless Inc. (NASDAQ:SWIR) had a loss and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are down 2.36%.
Sierra Wireless Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased to $-0.02 in the quarter versus EPS of $0.16 in the year-earlier quarter.
Revenue: Decreased 32.52% to $101.4 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Sierra Wireless Inc. reported adjusted EPS loss of $0.02 per share. By that measure, the company beat the mean analyst estimate of $-0.05. It beat the average revenue estimate of $100.05 million.
Quoting Management: “We experienced solid year-over-year revenue growth in the quarter, powered by a strong contribution from the acquired Sagemcom M2M business,” said Jason Cohenour, President and Chief Executive Officer. “A major focus in the quarter was completing the sale of our AirCard® assets and operations to Netgear, which was accomplished in early April. We are now an M2M pure play, with leading global market share, the industry’s broadest product line, and blue-chip customers. Moreover, we now have significant financial capacity to accelerate growth and value creation through acquisitions, as we capitalize on the secular growth opportunity in M2M.”
Key Stats (on next page)…