Vistaprint Beats on Earnings - Analyst Blog

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Vistaprint N.V ( VPRT ), an online provider of professional marketing products and services, reported a net income of $5.9 million or 17 cents per share in third quarter fiscal 2013 (ending Mar 31, 2013) compared to $0.3 million or 1 cent in the year-earlier quarter. The increase in earnings was driven by low advertising and operating expenses.

Excluding one-time items, adjusted earnings were $16.9 million or 48 cents per share compared to $11.2 million or 29 cents in the year-ago quarter. The quarterly adjusted earnings were well above the Zacks Consensus Estimate of 9 cents.  

Total revenue increased 12% year over year to $287.7 million in third quarter 2013. The reported earnings missed the Zacks Consensus Estimate of $289 million.

Geographically, revenues  was up 15% year over year in North America, followed up with Europe (up 8%) and Most of  world (up 6%) year over year in the reported quarter.

In the reported quarter, gross margin was flat year over year at 65.5%. Operating income increased to $9.7 million from $7.8 million in the prior-year quarter.

Balance Sheet & Cash Flow

The company exited the quarter with $51.3 million in cash and cash equivalents. Debt stood at $238.5 million, with $237.3 million available under its credit facility. Vistaprint purchased 410,400 shares for $16.2 million in the quarter under its existing share repurchase program.

Subsequent to the end of the quarter, the company purchased an additional 493,700 shares for $18.7 million,

The company generated $8.1 million in cash from operations with capital expenditure of $11.2 million

Outlook

For the fourth quarter of fiscal 2013, the company expects revenues in the range of of $263 million to $278 million. Fiscal 2013 revenues are expected in the range of $1,150 million - $1,165 million with GAAP earnings in the range of 60 cents-80 cents per share. Adjusted earnings for full fiscal are expected in the range of $1.94-$2.14 per share with capital expenditures of $85 million to $95 million.

Vistaprint remains focused on leveraging its investment and expect meaningful earnings growth and margin expansion in fiscal year 2014.

Vistaprint currently has a Zacks Rank #3 (Hold). Other stocks that look promising and are worth considering in the industry are Automatic Data Processing, Inc ( ADP ), Barrett Business Services Inc ( BBSI ) and Genpact Ltd ( G ), each carrying a Zacks Rank #2 (Buy).



AUTOMATIC DATA (ADP): Free Stock Analysis Report

BARRETT BUS SVS (BBSI): Free Stock Analysis Report

GENPACT LTD (G): Free Stock Analysis Report

VISTAPRINT NV (VPRT): Free Stock Analysis Report

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , Business , Earnings , Stocks

Referenced Stocks: ADP , BBSI , G , VPRT

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