Plantronics (PLT) Tops Q4 EPS by 29c, Revenues Beat; Offers Q1 EPS/Revenue Guidance

Plantronics (NYSE: PLT) reported Q4 EPS of $1.44, $0.29 better than the analyst estimate of $1.15. Revenue for the quarter came in at $488 million versus the consensus estimate of $481.43 million.

• Plantronics and Polycom relaunch as Poly, a global technology company that powers meaningful human connection and collaboration. Poly combines legendary audio expertise and powerful video and conferencing capabilities to overcome the distractions, complexity and distance that make communication in and out of the workplace challenging.
• Poly and Google Cloud announced a new strategic alliance making Poly VVX x50 phones the first desktop phones certified for Google Voice for G Suite.
• Poly announced Trio integration with two Amazon Web Services solutions, Amazon Alexa for Business and Chime, and also announced Voyager 4200 UC headset integration with the Amazon Alexa app.
• The Company expanded partnerships with both Zoom and GoToMeeting with integrations across multiple products.
• The Company revealed the upcoming Poly CCX Series desk phones offering native Microsoft Teams integration.
• Poly Studio won Best of Enterprise Connect for Best Communications and Collaboration Device.
• The Company\'s achieved its second consecutive quarter with trailing twelve month EBITDA of over $400 million.
• The Company completed its previously announced debt repayment of $100 million on its outstanding Term Loan B and ended fiscal year 2019 with a net debt to Adjusted EBITDA ratio of 3.6x. In addition, during the fourth fiscal quarter the Company repurchased approximately 233 thousand shares at an average price of $36.02.
• As of today, the Company has achieved a total of $73 million in annual run-rate synergy capture. Through subsequent actions, the Company expects to capture an additional $12 million by June 30, 2019, for a total of $85 million since the close of the Polycom acquisition.
• In an effort to align its strategy and focus on its core enterprise markets, the Company announced that it intends to evaluate strategic alternatives for its Consumer business. The Company has not yet determined timing, structure, or financial impact of any potential transaction.

"Fiscal 2019 confirms the business logic behind the merger of our two companies. We met our product delivery schedules, achieved or beat our financial commitments, and have demonstrated a real strength in execution," said Joe Burton, President and Chief Executive Officer. "I am incredibly pleased with our progress in integrating our teams, consolidating our systems, and relaunching as Poly. Our strategy positions us well to deliver on the goals outlined in our long-term model."

"I'm excited to join Poly's leadership team to help realize the tremendous market opportunity ahead of us," said Chuck Boynton, Executive Vice President and Chief Financial Officer. "Our FY19 results demonstrate the accretive power of this acquisition. We are entering FY20 with a strong balance sheet that will get stronger as we continue to pay down debt."

GUIDANCE:

Plantronics sees Q1 2020 EPS of $1.15-$1.45, versus the consensus of $1.30. Plantronics sees Q1 2020 revenue of $485-515 million, versus the consensus of $499.81 million.

For earnings history and earnings-related data on Plantronics (PLT) click here.

You May Also Be Interested In

• Tesla plans 'flying' Roadster stunt at SpaceX Texas site as early as August
• Silexion Therapeutics (SLXN) Tops Q2 EPS by 793c
• Sinda raises $331M in IPO, reports Q2 net loss of $16.6M