Earnings of iRobot Corp (IRBT) rose sharply and topped estimates in the third quarter when the company’s revenues surged to a record high. The stock gained about 10% in after-hours trading following the report. The consumer robots company posted a net profit of $31.93 million or $1.12 per share, up from $22.08 million or $0.76 per share in the third quarter of 2017. Earnings far exceeded the Wall Street’s prediction.
Revenues surged 29% annually to an all-time high of $264.53 million during the three-month period, with contributions from all geographical segments. The top line, which particularly benefitted from the successful launch of two new products, came in above estimates.
“We have delivered very strong results thus far this year. I am very excited about our positioning for the upcoming holiday season and confident in our ability to deliver our increased 2018 financial expectations,” said CEO Colin Angle.
The top line, which particularly benefitted from the successful launch of two new products, came in above estimates
Buoyed by the encouraging results, the management revised up its full-year 2018 revenue guidance to the range of $1.08 billion to $1.09 billion from the previous outlook of $1.06-$1.08 million. Earnings per guidance has been raised to the range of $2.55 to $2.75 from $2.30-$2.50 the company had projected earlier. It also narrowed the operating profit outlook to the range of $92-$96 million.
During the third quarter, the company rolled two innovative vacuum cleaners, claimed to be the most advanced products in that category, which contributed notably to the overall performance.
iRobot shares ended Tuesday’s regular session up 2% and gained further in the after-hours trading. Over the past twelve-month period, the stock gained about 14%, all along outperforming the market.