Axon Enterprise, Inc. 's AAXN first-quarter 2018 adjusted earnings came in at 32 cents per share, surpassing the Zacks Consensus Estimate of a loss of 4 cents. Also, earnings improved 128.6% year over year. The upside was driven by higher sales and gross profit.
Excluding one-time items, the company recorded GAAP earnings of 24 cents compared with 9 cents in the year-ago quarter.
Axon Enterprise, Inc Price, Consensus and EPS Surprise
In the quarter, the company generated revenues of $101.2 million, which comfortably surpassed the Zacks Consensus Estimate of $92 million by 10.2%. The reported revenues also improved 27.7% year over year, buoyed by higher sales at both the TASER Weapon and the Software and sensors segments.
Revenues from the TASER Weapons segment were up 10.1% year over year to $63.5 million. Also, the Software and Sensors segment's revenues surged 74.7% to $37.7 million.
Segment bookings were up 37.1% to $97.5 million as of Mar 31, 2018 from $71.2 million in the preceding quarter. Also, bookings increased 62.3% year over year.
Axon Enterprise's gross margin expanded 230 basis points year over year to 63.7% from 61.4%.
Total operating expenses increased 17.6% to $50.9 million. The uptick was owing to higher sales, general and administrative expenses (up 15.9%), and research and development expenses (up 21.3%).
Axon Enterprise had cash and cash equivalents of $92.3 million as of Mar 31, 2018 compared with $75.1 million as of Dec 31, 2017.
Net cash flow from operating activities was $18.8 million as of Mar 31, 2018 against cash outflow of $6.6 million in the year-ago quarter. Free cash inflow was $17.7 million in the quarter against cash outflow of $17.6 million in first-quarter 2017.
Axon Enterprise currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.
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