Globant (GLOB) Reports In-Line Q3 EPS, Beats on Revenues; Offers FY17 EPS/Revenue Guidance Above Consensus

Globant (NYSE: GLOB) reported Q3 EPS of $0.34, in-line with the analyst estimate of $0.34. Revenue for the quarter came in at $109.7 million versus the consensus estimate of $104.05 million.

2017 Fourth Quarter and Full Year Outlook

Based on current market conditions, Globant is providing the following estimates for the fourth quarter and the full year of 2017:

• Fourth quarter Revenue is estimated to be between $108-$110 million, implying 24.9% year-over-year growth at the midpoint of the range.
• Fourth quarter 2017 Non-IFRS Adjusted Diluted EPS is estimated to be in the range of $0.38-$0.40 (assuming an average of 36.5 million diluted shares outstanding during the fourth quarter).
• Fiscal year 2017 Revenue is estimated to be in the range of $406-$408 million, implying 26.1% year-over-year revenue growth at the midpoint of the range.
• Fiscal year 2017 Non-IFRS Adjusted Diluted EPS is estimated to be in the range of $1.25-$1.29 (assuming an average of 36.2 million diluted shares outstanding during 2017).

Third quarter 2017 highlights

• Revenue increased to a record $109.7 million, representing 33.2% year-over-year growth.
• Non-IFRS Adjusted Gross Profit was $42.8 million (39.0% Non-IFRS Adjusted Gross Profit Margin), an increase of $8.6 million compared to $34.2 million for the third quarter of 2016 (41.5% Non-IFRS Adjusted Gross Profit Margin).
• Non-IFRS Adjusted Net Income was $12.5 million (11.4% Non-IFRS Adjusted Net Income Margin), compared to a profit of $10.5 million for the third quarter of 2016 (12.8% Non-IFRS Adjusted Net Income Margin).
• Non-IFRS Adjusted Diluted EPS was $0.34 per share (based on an average of 36.3 million diluted shares), compared to Non-IFRS Adjusted Diluted EPS of $0.30 for the third quarter of 2016 (based on an average of 35.5 million diluted shares).

GUIDANCE:

Globant sees FY2017 EPS of $1.25-$1.29, versus the consensus of $1.25. Globant sees FY2017 revenue of $406-408 million, versus the consensus of $400.79 million.

For earnings history and earnings-related data on Globant (GLOB) click here.

You May Also Be Interested In

• AeroVironment restates quarterly financials, citing $89M goodwill error
• Worried the AI trade has gone too far? Evercore likes these 4 stocks
• Alphabet slides over 6% as AI brain drain and SpaceX slump converge