U.S. Markets open in 4 hrs 58 mins

Earnings Highlights and Review: Luxoft's Q4 Top-line Increases 20.6% Y-o-Y; Outshined Forecasts

Research Desk Line-up: Mobileye Post Earnings Coverage

LONDON, UK / ACCESSWIRE / June 9, 2017 / Pro-Trader Daily publishes post-earnings coverage on Luxoft Holding, Inc. (NYSE: LXFT) following the Company's announcement of its financial results for the fourth quarter fiscal 2017 (Q4 FY17) and full year fiscal 2017 (FY17) on May 22, 2017. The Zug, Switzerland-based Company's quarterly GAAP revenue rose 20.6% y-o-y; beating market consensus estimates. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at: http://protraderdaily.com/register/.

Get more of our free earnings reports coverage from other constituents of the Application Software industry. Pro-TD has currently selected Mobileye N.V. (NYSE: MBLY) for due-diligence and potential coverage as the Company announced on June 01, 2017, its financial results for Q1 2017 which ended on March 31, 2017. Register for a free membership today, and be among the early birds that get access to our report on Mobileye when we publish it.

At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on LXFT; also brushing on MBLY. With the links below you can directly download the report of your stock of interest free of charge at:

http://protraderdaily.com/optin/?symbol=LXFT

http://protraderdaily.com/optin/?symbol=MBLY

Earnings Reviewed

During the quarter ended on March 31, 2017, Luxoft's GAAP revenue grew to $204.13 million from $169.21 million recorded at the end of Q4 FY16. GAAP revenues numbers for Q4 FY17 topped market consensus estimates of $200.7 million. On a constant currency basis, revenue growth in the reported quarter was 22.0% y-o-y.

The software and IT Company's GAAP net income came in at $13.74 million, or $0.40 per diluted share, in Q4 FY17 compared to $14.59 million, or $0.43 per diluted share, in Q4 FY16. The Company's adjusted net income increased to $21.50 million, or $0.63 per diluted share, in Q4 FY17 from $18.84 million, or $0.56 per diluted share, in the previous year's same quarter. Wall Street had expected the Company to report adjusted net income of $0.64 per diluted share.

In FY17, Luxoft's GAAP revenue came in at $785.56 million, up 20.7% from $650.75 million in the previous year. However, the Company GAAP net income fell to $62.64 million, or $1.84 per diluted share, in FY17 from $70.25 million, or $2.06 per diluted share, in FY16. Meanwhile, the Company reported adjusted net income of $98.31 million, or $2.89 per diluted share, in FY17 compared to $92.86 million, or $2.72 per diluted share, in FY16.

Operational Metrics

For the reported quarter, the Company's GAAP operating income was $11.43 million, or 5.6% of revenues, versus $14.16 million, or 8.4% of revenues, in Q4 FY16. Meanwhile, non-GAAP operating income came in at $21.31 million, 10.4% of revenues, in Q4 FY17 compared to $18.85 million, or 11.1% of revenues, in Q4 FY16. Luxoft posted EBITDA of $23.33 million in Q4 FY17 compared to $23.72 million in the year ago same quarter. Additionally, the Company's adjusted EBITDA stood at $29.22 million, or 14.3% of revenues, in Q4 FY17 from $26.55 million, or 15.7% of revenues, in the last year's comparable quarter.

Revenues by Verticals

During Q4 FY17, five of Luxoft's seven verticals experienced revenue growth with Telecom, Automotive and Transport, Energy, and Financial Services delivering year-over-year growth.

Luxoft's Financial Services revenues stood at $115.96 million in Q4 FY17, growing marginally from $115.33 million in Q4 FY16. Moreover, the vertical's contribution to the Company's total revenues fell to 56.8% in Q4 FY16 from 68.2% in the year ago same quarter.

Automotive and transport vertical's revenues increased to $29.44 million in Q4 FY17 from $22.74 million in Q4 FY16. The vertical's contribution to the Company's total revenues also increased from 13.4% in Q4 FY16 to 14.4% in Q4 FY17.

Revenues from Telecom vertical surged to $23.09 million in Q4 FY17 from $9.93 million in Q4 FY16. The vertical's share in the Company's total revenues also increased to 11.3% in Q4 FY17 from 5.9% in Q4 FY16.

During the reported quarter, revenues from Technology and Energy verticals grew to $14.51 million and $4.04 million, respectively, from $8.99 million and $3.36 million, respectively, in Q4 FY16. However, revenues from Travel and Aviation vertical were down to $6.15 million in Q4 FY17 from $7.43 million in Q4 FY16. Moreover, the Company's newly introduced healthcare and life sciences vertical posted revenues of $9.59 million in Q4 FY17.

Cash Flow & Balance Sheet

During full-year FY17, Luxoft's net cash provided by operating activities were $122.03 million, up from $105.39 million in FY16. Moreover, free cash flow rose 29.0% y-o-y in FY17 to $98.2 million, or 12.5% of revenues. Furthermore, Luxoft had $109.56 million in cash and cash equivalents as on March 31, 2017, compared to $108.55 million at the close of books on March 31, 2016.

Outlook

In its guidance for full year ending March 31, 2018, Luxoft's management expects of at least 20.0% y-o-y to approximately $943 million. Adjusted EBITDA for FY18 is forecasted to be in the range of 17.0% to 19.0%. Furthermore, the Company anticipates GAAP diluted EPS of at least $1.90 for full year FY18, while non-GAAP diluted EPS is forecasted to be at least $3.26.

Stock Performance

On Thursday, June 08, 2017, the stock closed the trading session at $63.30, slightly falling 0.71% from its previous closing price of $63.75. A total volume of 103.09 thousand shares have exchanged hands. Luxoft's stock price surged 10.96% in the past three months, and 18.43% in the previous six months. Furthermore, since the start of the year, shares of the Company have rallied 12.63%. The stock is trading at a PE ratio of 33.62 and currently has a market cap of $2.11 billion.

Pro-Trader Daily:

Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email contact@protraderdaily.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: contact@protraderdaily.com

Phone number: (917) 341.4653

Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Pro-Trader Daily