Ambarella Inc. (NASDAQ: AMBA) reported fiscal first-quarter financial results after markets closed Tuesday. The company said that it had $0.39 in earnings per share (EPS) and $64.1 million in revenue, compared with consensus estimates from Thomson Reuters that called for $0.36 in EPS and $63.48 million in revenue. The same period from last year had $0.34 in EPS and $57.16 million in revenue.
In terms of the outlook for the fiscal second quarter, the company expects to see gross margin in the range of 62.0% to 63.5% and revenues in the range of $69.0 million to $72.0 million. The consensus estimates are calling for $0.48 in EPS and $72.35 million in revenue for the coming quarter.
Ambarella’s Board of Directors has authorized the repurchase of up to an additional $50 million in its ordinary shares, for the twelve-month period commencing on July 1, 2017. The company currently has a market cap of roughly $2 billion.
On the books, cash, cash equivalents, and marketable securities totaled $420.2 million at the end of the quarter, compared with $323.8 million in the same quarter last year.
Fermi Wang, President and CEO of Ambarella, commented:
Q1 revenue of $64.1 million reflects our continued push to diversify our markets and customers with strong growth in the quarter coming from IP security cameras, including both professional and home monitoring markets, and continued growth in other cameras markets including wearable and automotive cameras. While our current markets continue to expand, we believe the combination of video with computer vision technology will be the real driver of new opportunities in both our current markets as well as emerging markets such as OEM automotive and robotics. We feel our investment in the development of a family of computer vision SoCs in support of our customers’ advanced video cameras will be the foundation for the future expansion of our business.
Shares of Ambarella closed Tuesday up 1.3% at $59.72, with a consensus analyst price target of $64.40 and a 52-week range of $46.32 to $74.95. Following the release of the earnings report, the stock was initially trading down over 5% at $56.70 in the after-hours trading session.