CalAmp Sinks After Earnings, Warning On Near-Term Caution

Shares of CalAmp (CAMP) fell sharply in late morning trading after the company reported quarterly results and provided conservative guidance for the next quarter.

EARNINGS AND GUIDANCE: After the market close yesterday, CalAmp reported second quarter adjusted earnings per share of 27c on revenue of $90.5M, in-line with analysts' expectations of 27c for EPS but below the revenue consensus of $92.26M. Looking ahead, CalAmp provided an outlook for the third quarter, guiding for Q3 adjusted EPS in the range of 24c-30c on consolidated revenue in the range of $81M-$87M. Analysts expect the company to report Q3 EPS of 31c on revenue of $95.01M. The guidance excludes CalAmp's Satellite business, which contributed $6.7M of revenue in Q2 and ceased operations at quarter-end, the company said.

MANAGEMENT COMMENTS: Commenting on the quarter, CalAmp president and chief executive officer Michael Burdiek said, "The company continues its rapid pace of innovation, expanding its product portfolio and leadership position in the connected vehicle marketplace. Our pipeline of opportunities is very healthy, and we recently won two significant MRM telematics device customers who are expected to contribute to our long-term growth. Although we have been impacted by tough macro conditions in North America, we continue to invest in market-leading telematics solutions, and we remain optimistic that we will see a pick-up in growth from CalAmp's core businesses and new opportunities emerging through LoJack channels."

1 2 3
View single page >> |

Disclosure: None.

How did you like this article? Let us know so we can better customize your reading experience. Users' ratings are only visible to themselves.


Leave a comment to automatically be entered into our contest to win a free Echo Show.