LeapFrog Slims 1Q Loss, Beats Street
LeapFrog (NYSE:LF) revealed late Monday a narrowed first-quarter loss that trumped Wall Street estimates, and the educational toy maker reaffirmed its fiscal-year view.
The Emeryville, Calif.-based provider of technology-based learning platform posted a net loss of $22.2 million, or 34 cents a share, compared with a loss of $23.5 million, or 37 cents a share, in the same quarter last year.
Revenue for the three months ended March 31 was $39.7 million, down 6% from $42.4 million a year ago, led by a 37% improvement in its international segment, offset by a 19% drop in the U.S., its largest segment by revenue.
The results trumped average analyst estimates polled by Thomson Reuters of a loss of 38 cents and $34.5 million in sales.
“In the eight weeks that I have been with the company, I have seen the passion and talent of LeapFrog employees around the world who are creating life-changing learning solutions to help children achieve their full potential,” said John Barbour, the company’s newly appointed chief executive. “Our first quarter results are yet another positive step towards earnings improvement.”
The company reaffirmed its belief that it is on track to achieve its full-year earnings forecast in the range of 15 cents to 20 cents a share, with sales flat to slightly down compared with the year-earlier. Analysts are looking for fiscal 2011 earnings of 19 cents.
For the second-quarter, the company anticipates a loss in the range of 23 cents to 26 cents a share, with revenue down 15% to 20%. Analysts are predicting a loss of only 23 cents.