We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Compared to Estimates, American Software (AMSWA) Q3 Earnings: A Look at Key Metrics
Read MoreHide Full Article
For the quarter ended January 2024, American Software (AMSWA - Free Report) reported revenue of $25.54 million, down 17.7% over the same period last year. EPS came in at $0.19, compared to $0.13 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $24.12 million, representing a surprise of +5.87%. The company delivered an EPS surprise of +216.67%, with the consensus EPS estimate being $0.06.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how American Software performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Revenues- Professional services and other: $3.42 million versus the two-analyst average estimate of $2.81 million. The reported number represents a year-over-year change of -59%.
Revenues- Maintenance: $7.73 million compared to the $7.39 million average estimate based on two analysts. The reported number represents a change of -10.7% year over year.
Revenues- License fees: $0.28 million compared to the $0.20 million average estimate based on two analysts. The reported number represents a change of -72.8% year over year.
Revenues- Subscription fees: $14.11 million versus $13.72 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +8.5% change.
Gross margin on subscription fees: $9.17 million versus the two-analyst average estimate of $9.07 million.
Gross margin on maintenance: $6.28 million compared to the $5.86 million average estimate based on two analysts.
Gross margin on professional services and other: $0.72 million versus the two-analyst average estimate of $0.79 million.
Gross margin on license fees: $0.27 million compared to the $0.12 million average estimate based on two analysts.
Shares of American Software have returned -7.8% over the past month versus the Zacks S&P 500 composite's +3.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Compared to Estimates, American Software (AMSWA) Q3 Earnings: A Look at Key Metrics
For the quarter ended January 2024, American Software (AMSWA - Free Report) reported revenue of $25.54 million, down 17.7% over the same period last year. EPS came in at $0.19, compared to $0.13 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $24.12 million, representing a surprise of +5.87%. The company delivered an EPS surprise of +216.67%, with the consensus EPS estimate being $0.06.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how American Software performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
- Revenues- Professional services and other: $3.42 million versus the two-analyst average estimate of $2.81 million. The reported number represents a year-over-year change of -59%.
- Revenues- Maintenance: $7.73 million compared to the $7.39 million average estimate based on two analysts. The reported number represents a change of -10.7% year over year.
- Revenues- License fees: $0.28 million compared to the $0.20 million average estimate based on two analysts. The reported number represents a change of -72.8% year over year.
- Revenues- Subscription fees: $14.11 million versus $13.72 million estimated by two analysts on average. Compared to the year-ago quarter, this number represents a +8.5% change.
- Gross margin on subscription fees: $9.17 million versus the two-analyst average estimate of $9.07 million.
- Gross margin on maintenance: $6.28 million compared to the $5.86 million average estimate based on two analysts.
- Gross margin on professional services and other: $0.72 million versus the two-analyst average estimate of $0.79 million.
- Gross margin on license fees: $0.27 million compared to the $0.12 million average estimate based on two analysts.
View all Key Company Metrics for American Software here>>>Shares of American Software have returned -7.8% over the past month versus the Zacks S&P 500 composite's +3.1% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.