Credit: Shutterstock photoTASER International Inc. 's TASR fourth-quarter 2016 earnings came in at 12 cents per share, beating the Zacks Consensus Estimate of 11 cents by 9.1%. This Scottsdale, AZ-based company's earnings also improved 33.3% year over year. The upside was mainly driven by higher gross profit as well as operating income.
Full-year 2016 earnings were 32 cents per share, in line with the Zacks Consensus Estimate. However, the figure declined 11.1% year over year.
Total Revenue
In the quarter, the company generated revenues of $82.1 million, beating the Zacks Consensus Estimate of $71 million by 15.6%. The reported number also jumped 46.5% year over year. The upside can be attributed to higher sales from both the TASER Weapon as well as Axon segments.
Revenues from the TASER Weapons segment climbed 24.9% year over year to $58.3 million.
AXON segment revenues surged 153.8% to $23.7 million. Segment bookings increased 26.1% to $72.5 million as of Dec 31, 2016, from $57.5 million in the preceding quarter. Bookings also surged 62.3% year over year in the quarter.
Revenues were $268.2 million in 2016, up 35.6% year over year and also surpassed the Consensus estimate of $257.3 million by 4.2%.
Highlights of the Quarter
The company's gross margin contracted 540 basis points year over year to 60.6% from 66% a year ago.
Total operating expenses increased 41.7% year over year to $40.4 million. The increase was primarily driven by higher sales, general and administrative expenses (up 40.7%), and research and development expenses (up 45.2%).
TASER International, Inc. Price, Consensus and EPS Surprise
TASER International, Inc. Price, Consensus and EPS Surprise | TASER International, Inc. Quote
Financials
The company had cash and cash equivalents of $40.7 million as of Dec 31, 2016, compared with $59.5 million as of Dec 31, 2015. Net cash from operating activities was $17.9 million in 2016 compared with $46.4 million in the year-ago period. Free cash flow was $6.0 million versus $27.3 million a year ago.
Zacks Rank
TASER International presently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here .
Peer Releases
Brady Corp. BRC reported second-quarter fiscal 2017 earnings of 40 cents per share, beating the Zacks Consensus Estimate of 34 cents by 17.7%.
Digimarc Corporation DMRC reported fourth-quarter 2016 loss of 57 cents per share, narrower than the Zacks Consensus Estimate of 60 cents.
An Upcoming Peer Release
Alarm.Com Holdings, Inc. ALRM will release fourth-quarter 2016 results on Mar 15. In the last quarter, the company registered a positive earnings surprise of 60.00%.
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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 Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
