Zix Earnings: Here’s Why Investors are Selling Shares Now
Zix Corp. (NASDAQ:ZIXI) 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 6.71%.
Zix Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 25% to $0.05 in the quarter versus EPS of $0.04 in the year-earlier quarter.
Revenue: Rose 18.3% to $11.7 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Zix Corp. reported adjusted EPS income of $0.05 per share. By that measure, the company beat the mean analyst estimate of $0.04. It beat the average revenue estimate of $11.31 million.
Quoting Management:“We are very pleased to report record financial results for 2012 in new first year orders, backlog, revenue and adjusted earnings per share,” said Rick Spurr, ZixCorp’s Chairman and Chief Executive Officer. “During the year, we continued to enhance our email encryption solution, maintaining our industry-leading ease of use and our position as the market leader. We also began investments in two new data protection products and expanded our resources in sales and marketing to extend our reach. These investments, and the recent unveiling of the final omnibus HIPAA rule, position ZixCorp for revenue growth as we progress through 2013.”
Key Stats (on next page)…