Nautilus (NLS) Reports In-Line Q1 EPS

Nautilus (NYSE: NLS) reported Q1 EPS of $0.26, in-line with the analyst estimate of $0.26. Revenue for the quarter came in at $113.3 million versus the consensus estimate of $111.32 million.

Revenues:

• Total revenue was $113.3 million compared to guidance range of $110 - $112 million and prior year of $120.9 million.
• Direct segment sales decreased 8.0% to $74.7 million primarily due to lower TreadClimber® sales.
• Retail segment sales decreased 2.6% to $37.8 million, reflecting the impact of certain customers rebalancing their inventory levels, coupled with some softness in the retail market.

Gross Margins:

• Total company gross margins decreased by 40 basis points to 54.5% due to a shift in segment mix, reflecting an increased percentage of Retail sales.
• Retail margins improved by 210 basis points due to favorable product mix.

Operating Expenses:

• Operating expenses increased 440 basis points as a percentage of net sales with planned increases in sales, marketing, and product development, slightly offset by a decline in general and administrative costs.
• Operating income of $12.7 million compared to guidance range of $12.5 - $14.0 million, and prior year of $19.3 million, with operating margin of 11.2%, down 480 basis points versus prior year.
• Income from continuing operations for the first quarter of 2017 was $8.2 million, or $0.26 per diluted share, compared to income from continuing operations of $11.6 million, or $0.37 per diluted share.
• EBITDA from continuing operations totaled $14.9 million compared to $21.1 million in the prior year period.
• At March 31, 2017, the Company had cash and marketable securities of $88.8 million and debt of $60.0 million, compared to $79.6 million and $64.0 million, respectively, at December 31, 2016.

For earnings history and earnings-related data on Nautilus (NLS) click here.

You May Also Be Interested In

• Birkenstock Holding (BIRK) Misses Q3 EPS by 2c; lifts guidance
• JD.com (JD) Tops Q1 EPS by 66c
• CAE, Inc. (CAE) Tops Q1 EPS by 2c, Beats on Revenue; Offers FY27 EPS Guidance