Model N (MODN) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates
For the quarter ended June 2023, Model N (MODN) reported revenue of $63.74 million, up 13.5% over the same period last year. EPS came in at $0.35, compared to $0.23 in the year-ago quarter.
The reported revenue compares to the Zacks Consensus Estimate of $61.97 million, representing a surprise of +2.86%. The company delivered an EPS surprise of +45.83%, with the consensus EPS estimate being $0.24.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.
Here is how Model N performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:
Revenues- Subscription: $45.79 million versus the five-analyst average estimate of $45.24 million. The reported number represents a year-over-year change of +12.9%.
Revenues- Professional services: $17.95 million compared to the $16.73 million average estimate based on five analysts. The reported number represents a change of +14.9% year over year.
Gross Profit- Professional services: $6.52 million compared to the $5.80 million average estimate based on two analysts.
Gross Profit- Subscription: $29.95 million compared to the $29.07 million average estimate based on two analysts.
View all Key Company Metrics for Model N here>>>
Shares of Model N have returned -7.5% over the past month versus the Zacks S&P 500 composite's +2.8% change. The stock currently has a Zacks Rank #2 (Buy), indicating that it could outperform the broader market in the near term.
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Model N, Inc. (MODN) : Free Stock Analysis Report
