Synacor Earnings: Here’s Why Investors are Not Happy Now
Synacor (NASDAQ:SYNC) delivered a profit 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 10.7%.
Synacor Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 50% to $0.02 in the quarter versus EPS of $0.04 in the year-earlier quarter.
Revenue: Decreased 5.12% to $29.1 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Synacor reported adjusted EPS income of $0.02 per share. By that measure, the company beat the mean analyst estimate of $0. It beat the average revenue estimate of $29.06 million.
Quoting Management: “We are pleased that we delivered on our expectations for the first quarter,” said Synacor CEO Ron Frankel. “I am excited about both our customer and product pipelines. From a new customer perspective, our pipeline has never been stronger, and we are beginning to invest in the requisite resources to win and deliver. We are also strengthening our positioning in the mobile space with new products we will be launching throughout this year and next. We remain confident in the long-term prospects for the company as we transition through 2013.”
Key Stats (on next page)…