VTSI - VirTra: Short-Term Hiccup Or Long-Term Troubles?
2024-05-15 14:45:41 ET
Summary
- VirTra's quarterly earnings missed estimates, causing VTSI stock to drop 30% overnight.
- VirTra's revenues dropped almost 20% year-over-year, with operating expenses increasing, putting pressure on net income. Cash flow rose, but it was due to the company working through its backlog.
- Most of the revenue decline actually came from international markets where pipeline is still growing, but contract lead times are longer.
- It's too early to tell whether this is a short-term trouble or a sign of something bigger. The next couple of quarters will tell us.
VirTra Q1 Earnings Results
VirTra, Inc. ( VTSI ) announced its quarterly earnings this week, and investors weren't thrilled with the results as the company missed estimates both on the top line and bottom lines. This caused the stock to drop about 30% overnight. Analysts were looking for the company to report 12 cents of net income on revenues of $8.5 million, whereas the company delivered net income of 11 cents per share on revenues of $8.1 million. The stock was having a good run this year before this latest drop, and it's still up more than 100% year-over-year despite this sharp drop....
VirTra: Short-Term Hiccup Or Long-Term Troubles?