VeriFone Systems, Inc. (NYSE:PAY) headlining after earnings

VeriFone Systems, Inc. (NYSE:PAY) reported earnings for the three months ended April 2016 on June 07, 2016. The company earned $0.47 per share on revenue of $532.4M. Analysts had been modeling earning per share of $0.52 with $530.09M in revenue.

VeriFone Systems, Inc. (NYSE:PAY) announced financial results for the three months ended April 30, 2016.

Second Quarter Financial Highlights

  • GAAP net revenues of $526 million and Non-GAAP net revenues of $532 million
  • GAAP net income per diluted share of $0.03
  • Non-GAAP net income per diluted share of $0.47
  • Operating cash flow of $51 million

“Q2 was a mixed quarter for Verifone as we grew our business, but experienced several difficult market dynamics,” said Paul Galant, Chief Executive Officer of Verifone. “As a result, it is necessary for us to adjust for these risks and update our outlook for FY16 to $2.100 billion dollars of revenue and $1.85 of earnings per share. We are aggressively executing mitigating actions including a headcount restructuring and a review of underperforming businesses. At the same time, we remain committed to executing our strategy in a disciplined manner, and continue to make progress in bringing our next generation devices to market and launching our services platform.”

Third Quarter and Fiscal Year 2016 Outlook

Guidance for the third fiscal quarter of 2016 is as follows:

  • Non-GAAP net revenues of $515 million
  • Non-GAAP net income per diluted share of $0.40

Guidance for the full fiscal year 2016 is as follows:

  • Non-GAAP net revenues of $2.100 billion
  • Non-GAAP net income per diluted share of $1.85

Restructuring Initiatives

Verifone is currently conducting a disciplined strategic review to address underperforming businesses and reduce overall operating expense levels. In connection with these plans the company intends to reduce headcount and estimates that these activities in total will generate approximately $30 million of savings in 2017.

VeriFone Systems, Inc. earnings per share showed an increasing trend of 299.7% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 216%.Analysts project EPS growth over the next 5 years at 15%. It has EPS annual decline over the past 5 fiscal years of -12.9% when sales grew 14.8. It reported 7.4% sales growth, and -80.2% EPS decline in the last quarter.

The stock is trading at $19.5, up 5.69% from 52-week low of $18.45. The stock trades down -46.34% from its peak of $35.74 and % below the consensus price target of $27.44. Its volume clocked up at 3.08 million shares which is higher than the average volume of 2.46 million shares. Its market capitalization currently stands at $2.14B.

Vince Holding Corp (NYSE:VNCE) take heat post earnings

Vince Holding Corp (NYSE:VNCE) reported earnings for the three months ended April 2016 on June 07, 2016. The company earned $-0.05 per share on revenue of $67.64M. Analysts had been modeling earning per share of $-0.11 with $55.45M in revenue.

Vince Holding Corp (NYSE:VNCE) reported unaudited results for the first quarter of fiscal 2016 ended April 30, 2016.

For the first quarter ended April 30, 2016:

  • Net sales increased 13.0% to $67.6 million from $59.8 million in the first quarter of fiscal 2015. Wholesale segment sales increased 16.9% to $44.8 million and direct-to-consumer segment sales increased 6.1% to $22.9 million over the first quarter of fiscal 2015. Comparable sales decreased 12.3%, including e-commerce sales, which was in line with expectations, due to the planned reduction in promotional activity and inventory levels.
  • Gross profit was $28.3 million, or 41.8% of net sales. This compares to gross profit of $30.7 million, or 51.4% of net sales, in the first quarter of fiscal 2015. The decrease in gross profit rate was primarily attributable to a change in product mix and continued strategic investments.
  • Selling, general, and administrative expenses were $31.8 million, or 47.0% of sales compared to $25.6 million, or 42.9% of sales, in the first quarter of fiscal 2015. The increase in SG&A dollars for the first quarter of Fiscal 2016 includes continued store and strategic investments made to support the Company’s long term goals.
  • Operating loss was $3.5 million, compared to operating income of $5.1 million for the first quarter of fiscal 2015.
  • Net loss was $1.9 million, or $0.05 per share, compared to net income of $2.5 million, or $0.06 per diluted share, for the first quarter of fiscal 2015.
  • The Company opened three new stores, ending the first quarter with 51 company-operated stores.

2016 Outlook

For fiscal 2016, the Company expects:

  • Total net sales between $290 million and $305 million, including revenues from six new retail stores and comparable sales growth inclusive of ecommerce sales in the flat to low-single digit range. The Company expects sales to decrease in the mid- to high-single digit range for the first half of the year and to be flat or increase in the mid-single digit range in the second half of the year as compared to the same prior year periods;
  • Gross margin of approximately 47%;
  • SG&A to be between $131 million and $133 million;
  • Interest expense of approximately $4 million;
  • Diluted EPS of $0.00 to $0.06. The company expects net loss per share to be in the high-single digit to low-teen’s range in the first half of the year due to higher SG&A growth as the result of continued store and strategic investments in early fiscal 2016 and the annualization of store openings and strategic investments made in fiscal 2015. Note that the EPS guidance reflects a share count of approximately 46.4 million, which includes the impact of 11.8 million shares issued in connection with the rights offering; and
  • Capital expenditures between $10 million and $12 million.

Vince Holding Corp earnings per share showed a decreasing trend of -85.5% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 20%.Analysts project EPS decline over the next 5 years at -11%. It has EPS annual growth over the past 5 fiscal years of 15.3% when sales declined -12.4. It reported 13% sales growth, and -178.3% EPS decline in the last quarter.

The stock is trading at $5.52, up 66.77% from 52-week low of $3.31. The stock trades down -58.15% from its peak of $13 and % below the consensus price target of $7.1. Its volume clocked up at 0.29 million shares which is lower than the average volume of 0.33 million shares. Its market capitalization currently stands at $247.28M.

Volatile post-earnings mover: Lululemon Athletica Inc. (NASDAQ:LULU)

Lululemon Athletica Inc. (NASDAQ:LULU) reported earnings for the three months ended April 2016 on June 08, 2016. The company earned $0.3 per share on revenue of $495.52M. Analysts had been modeling earning per share of $0.31 with $487.6M in revenue.

Lululemon Athletica Inc. (NASDAQ:LULU)  announced financial results for the first quarter ended May 1, 2016.

For the first quarter ended May 1, 2016:

  • Net revenue increased by 17% to $495.5 million from $423.5 million in the first quarter of fiscal 2015, or increased by 19% on a constant dollar basis.
  • Total comparable sales, which includes comparable store sales and direct to consumer, increased by 6%, or by 8% on a constant dollar basis.
  • Comparable store sales increased by 3%, or by 5% on a constant dollar basis.
  • Direct to consumer net revenue increased by 17% to $97.6 million, or by 18% on a constant dollar basis.
  • Gross profit increased by 16% to $239.1 million, and as a percentage of net revenue gross profit was 48.3% compared to 48.6% in the first quarter of fiscal 2015.
  • Income from operations decreased by 15% to $57.6 million from $68.0 million in the first quarter of fiscal 2015, and as a percentage of net revenue was 11.6% compared to 16.1% of net revenue in the first quarter of fiscal 2015. Included in selling, general and administrative expenses were net foreign exchange losses of $13.5 million, primarily due to the revaluation of U.S. dollar cash and receivables held in Canada, which were $9.1 million more than the net foreign exchange losses in the first quarter of fiscal 2015.
  • Income tax expense was $11.8 million, which included a net income tax recovery of $5.6 million related to the Company’s transfer pricing arrangements and the associated plan to repatriate foreign earnings. In addition, there was a related net interest expense of $1.2 million. The effective tax rate in the first quarter of fiscal 2016 was 20.6% compared to 30.3% in the first quarter of fiscal 2015. Excluding the above tax and related interest adjustments, the effective tax rate was 29.8% in the first quarter of fiscal 2016.
  • Diluted earnings per share for the first quarter of fiscal 2016 were $0.33 compared to $0.34 in the first quarter of fiscal 2015. Excluding the above tax and related interest adjustments, diluted earnings per share were $0.30 for the first quarter of fiscal 2016.
  • During the first quarter of fiscal 2016, the Company repurchased 0.2 million shares of the Company’s common stock at an average cost of $65.01 per share.

The Company ended the first quarter of fiscal 2016 with $550.0 million in cash and cash equivalents compared to $655.9 million at the end of the first quarter of fiscal 2015. Inventories at the end of the first quarter of fiscal 2016 increased by 21% to $286.2 million compared to $236.5 million at the end of the first quarter of fiscal 2015. The Company ended the quarter with 373 stores.

Laurent Potdevin, lululemon’s CEO, stated: “We are pleased with our first quarter performance, delivering strong sales results and gross margin that exceeded expectations. We finished the quarter with our inventory levels rebalanced and on track to achieve our goals for the year.”

Updated Outlook

For the second quarter of fiscal 2016, we expect net revenue to be in the range of $505 million to $515 million based on total comparable sales in the mid-single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $0.36 to $0.38 for the quarter. This guidance assumes 137.5 million diluted weighted-average shares outstanding and a 30.2% tax rate.

For the full fiscal 2016, we now expect net revenue to be in the range of $2.305 billion to $2.345 billion based on total comparable sales in the mid-single digits on a constant dollar basis. Diluted earnings per share are expected to be in the range of $2.08 to $2.18 for the full year, or $2.05 to $2.15 normalized for the tax and related interest adjustments made during the first quarter of fiscal 2016. This guidance assumes 137.5 million diluted weighted-average shares outstanding and a 28.9% tax rate, which includes the above tax and related interest adjustments.

Lululemon Athletica Inc. earnings per share showed an increasing trend of 14.2% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 253%.Analysts project EPS growth over the next 5 years at 16.14%. It has EPS annual growth over the past 5 fiscal years of 17.4% when sales grew 23.7. It reported 17% sales growth, and -1.8% EPS decline in the last quarter.

The stock is trading at $71.82, up 66.48% from 52-week low of $43.14. The stock trades down -1.91% from its peak of $73.22 and % below the consensus price target of $71.39. Its volume clocked up at 1.39 million shares which is lower than the average volume of 2.31 million shares. Its market capitalization currently stands at $9.77B.

Which way Piedmont Natural Gas Co. Inc. (NYSE:PNY) earnings moved?

Piedmont Natural Gas Co. Inc. (NYSE:PNY) reported earnings for the three months ended April 2016 on June 08, 2016. The company earned $0.79 per share on revenue of $350.19M. Analysts had been modeling earning per share of $0.85 with $419.83M in revenue.

Piedmont Natural Gas Co. Inc. (NYSE:PNY) announced results for its second fiscal quarter ended April 30, 2016. For the quarter, the Company reported net income of $63.4 million, or $0.78 per diluted share, compared to net income of $66.4 million, or $0.84 per diluted share, for the same period in 2015. Adjusted for merger-related expenses incurred during the Company’s second quarter, net income was $64.1 million, or $0.79 per diluted share.

For the six months ended April 30, 2016, net income was $161.2 million and diluted earnings per share were $1.98, compared with net income of $159.4 million and diluted earnings per share of $2.02 for the same period in 2015. Adjusted for merger-related expenses incurred during the Company’s six months ended April 30, 2016, net income was $169.1 million, or $2.08 per diluted share.

Margin for the quarter was $224.4 million, a decrease of $1.3 million from the same period in 2015. The decrease in the three month period is primarily attributable to lower margin sales from secondary market activity and warmer weather, partially offset by integrity management rider (IMR) rate adjustments in North Carolina and Tennessee and customer growth. Margin for the six months ended April 30, 2016 was $510.6 million, an increase of $14.9 million from the same period in 2015. The increase is primarily attributable to IMR rate adjustments in North Carolina and Tennessee and customer growth, partially offset by lower margin sales from secondary market activity and warmer weather.

Operation and maintenance (O&M) expenses totaled $75.5 million during the second quarter of 2016, an increase of $4.1 million from the same quarter in 2015. O&M expenses totaled $146.8 million during the six months ended April 30, 2016, an increase of $9.2 million from the same period in 2015. The increase in O&M expenses for the quarter is primarily due to increases in payroll and contract labor, partially offset by a decrease in employee benefits. The increase for the six month period is primarily due to increases in payroll and $5.5 million incremental expense from the acceleration and payment of certain equity incentive awards in connection with the proposed Duke Energy acquisition and $2.1 million integration expenses related to the Duke Energy acquisition.

Pre-tax income from Piedmont’s joint ventures decreased 7.9% for the quarter compared to the same period in 2015 due to a decrease in SouthStar’s income from lower customer usage due to warmer weather and lower value of hedged derivatives, partially offset by lower operating expenses. Pre-tax income from Piedmont’s joint ventures decreased 1.3% for the six months ended April 30, 2016 compared to the same period in 2015 due to the same factors discussed for SouthStar for the quarter that were partially offset by an increase in ACP’s income due to higher capitalized interest expense and lower outreach cost.

Utility interest charges for the quarter were $16.6 million compared to $18.1 million for the same period in 2015. Utility interest charges for the six months ended April 30, 2016 were $33.7 million compared to $35.8 million for the same period in 2015. The decreases in utility interest charges for both periods is primarily due to recording interest income on net amounts due from customers compared with interest expense due to customers in the prior periods, partially offset by additional interest from an increase in long-term debt outstanding in 2016.

Piedmont Natural Gas Co. Inc. earnings per share showed a decreasing trend of -6% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 207%.Analysts project EPS growth over the next 5 years at 4%. It has EPS annual decline over the past 5 fiscal years of -2.4% when sales declined -2.4. It reported -17.6% sales drop, and -7.2% EPS decline in the last quarter.

The stock is trading at $59.67, up 74.49% from 52-week low of $35.09. The stock trades down -0.56% from its peak of $60.35 and % below the consensus price target of $60. Its volume clocked up at 0.36 million shares which is lower than the average volume of 0.41 million shares. Its market capitalization currently stands at $4.84B.

Worth Watching Stock: Five Below, Incorporated (FIVE)

Five Below, Inc. (NASDAQ:FIVE) reported earnings for the three months ended April 2016 on June 02, 2016. The company earned $0.12 per share on revenue of $192.71M. Analysts had been modeling earning per share of $0.1 with $188.01M in revenue.

Five Below, Inc. (NASDAQ:FIVE) announced financial results for the thirteen weeks ended April 30, 2016.

For the thirteen weeks ended April 30, 2016:

  • Net sales increased by 25.4% to $192.7 million from $153.7 million in the first quarter of fiscal 2015; comparable store sales increased by 4.9%.
  • Operating income increased to $10.8 million from $7.0 million in the first quarter of fiscal 2015.
  • The Company opened 21 new stores and ended the quarter with 458 stores in 28 states. This represents an increase in stores of 19.0% from the end of the first quarter of fiscal 2015.
  • Net income was $6.8 million compared to $4.3 million in the first quarter of fiscal 2015.
  • Diluted income per common share was $0.12 compared to $0.08 per share in the first quarter of fiscal 2015.

Joel Anderson, CEO stated: “We are very pleased with our first quarter results that once again demonstrate the universal appeal of Five Below and the disciplined execution of our key initiatives. Our top-line outperformance was driven by continued strength at both our new and existing stores. This marks our 40th consecutive quarter of positive comparable store sales growth and we delivered a 50% increase in earnings per share driven by our ability to leverage our fixed costs on our strong comp and new store performance.”

Second Quarter and Fiscal 2016 Outlook:

For the second quarter of fiscal 2016, net sales are expected to be in the range of $216 million to $219 million based on opening 28 new stores and assuming an approximate 3% increase in comparable store sales. Net income is expected to be in the range of $8.5 million to $9.2 million, with a diluted income per common share range of $0.16 to $0.17 on approximately 55.0 million estimated diluted weighted average shares outstanding.

For fiscal 2016, the Company continues to expect net sales to be in the range of $995 million to $1,005 million based on opening 85 new stores for the full year and assuming an approximate 3% increase in comparable store sales. Net income is expected to be in the range of $69.9 million to $72.2 million, with a diluted income per common share of $1.27 to $1.31 on approximately 55.3 million estimated diluted weighted average shares outstanding.

Five Below, Inc. earnings per share showed an increasing trend of 19.7% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 161%.Analysts project EPS growth over the next 5 years at 22.86%. It has EPS annual growth over the past 5 fiscal years of 135.1% when sales grew 33.4. It reported 25.4% sales growth, and 57.3% EPS growth in the last quarter.

The stock is trading at $46.34, up 71.95% from 52-week low of $26.95. The stock trades down -0.34% from its peak of $46.5 and % below the consensus price target of $45.42. Its volume clocked up at 0.61 million shares which is lower than the average volume of 0.89 million shares. Its market capitalization currently stands at $2.49B.

Notable Earnings: NGL Energy Partners LP (NYSE:NGL)

NGL Energy Partners LP (NYSE:NGL) reported earnings for the three months ended March 2016 on May 27, 2016. The company earned $0.77 per share on revenue of $2.33B. Analysts had been modeling earning per share of $0.54 with $2.64B in revenue.

NGL Energy Partners LP (NGL) reported a net loss for the quarter ended March 31, 2016 of $207.0 million including gains related to the sale of the TLP GP and the early extinguishment of debt totaling $158.9 million offset by a non-cash impairment charge of $380.2 million related to the Water Solutions segment. Adjusted EBITDA was $154.0 million for the quarter ended March 31, 2016, compared to Adjusted EBITDA of $185.0 million during the quarter ended March 31, 2015. This represents a decrease of 17% year over year driven by the decline in commodity prices and warmer weather. Distributable Cash Flow was $128.3 million for the quarter ended March 31, 2016, compared to $153.5 million for the quarter ended March 31, 2015. Net loss for the fiscal year ended March 31, 2016 was $187.1 million with Adjusted EBITDA for the year of $424.1 million, compared to net income and Adjusted EBITDA of $50.2 million and $443.3 million, respectively, for the year ended March 31, 2015. The current year was impacted by the significant decline in commodity prices and the goodwill impairment offset by a portion of the gain on the sale of the TLP GP and early extinguishment of debt compared to the prior year.

“We are very pleased with our fiscal year 2016 EBITDA performance and recent delevering events given the challenging energy environment. Our fourth quarter results were impacted by the continued decline in commodity prices compounded by a continuing unseasonably warm winter. We were able to offset those impacts by increasing volumes in our Refined Products business, optimizing our operations and taking advantage of a contango commodities market. This is a testament to our strategy of having an integrated and diversified portfolio of midstream businesses which serve as natural hedges against commodity price declines,” said Mike Krimbill, CEO of NGL. “Additionally, we have made tremendous progress over the past six months to improve our balance sheet, enhance our liquidity and continue to focus on the opportunities to grow our five business segments.”

NGL Energy Partners LP earnings per share showed an increasing trend of 153.7% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 151%.Analysts project EPS growth over the next 5 years at 1%. It has EPS annual decline over the past 5 fiscal years of -35.3% when sales grew 65.7. It reported -27.8% sales drop, and -246.3% EPS decline in the last quarter.

The stock is trading at $19.77, up 265.24% from 52-week low of $5.57. The stock trades down -30.98% from its peak of $32.79 and % below the consensus price target of $16.38. Its volume clocked up at 1.07 million shares which is lower than the average volume of 1.45 million shares. Its market capitalization currently stands at $2.02B.

Stock Earnings in Review: Big Lots Inc. (NYSE:BIG)

Big Lots Inc. (NYSE:BIG) reported earnings for the three months ended April 2016 on May 27, 2016. The company earned $0.82 per share on revenue of $1.31B. Analysts had been modeling earning per share of $0.7 with $1.3B in revenue.

Big Lots, Inc. (BIG) reported income from continuing operations of $38.6 million, or $0.79 per diluted share, for the first quarter of fiscal 2016 ended April 30, 2016. This result includes an after tax expense of $1.3 million, or $0.03 per diluted share, associated with legacy pension plans which have been terminated. Excluding this expense, adjusted income from continuing operations totaled $39.9 million, or $0.82 per diluted share (see non-GAAP table included later in this release), which compares to our guidance of adjusted income from continuing operations of $0.66 to $0.72 per diluted share (non-GAAP). Adjusted income from continuing operations for the first quarter of fiscal 2015 was $33.0 million, or $0.61 per diluted share (non-GAAP). Comparable store sales for stores open at least fifteen months increased 3.0% for the quarter, compared to our guidance of an increase in the low single digits. Net sales for the first quarter of fiscal 2016 increased 2.5% to $1,312.6 million, as our comparable store sales increase was partially offset by a lower store count compared to last year.

Commenting on today’s release, David Campisi, Chief Executive Officer and President of Big Lots, stated, “I’m very pleased with our first quarter results. Q1 comps increased for the 9th consecutive quarter and were at the high end of our guidance range. Jennifer continues to respond positively to our strategic focus on ownable and winnable merchandise categories, improved merchandise presentations and more consistent in-store execution.”

Big Lots Inc. earnings per share showed an increasing trend of 14.1% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 388%.Analysts project EPS growth over the next 5 years at 14.12%. It has EPS annual decline over the past 5 fiscal years of -0.2% when sales grew 0.9. It reported 2.5% sales growth, and 31.2% EPS growth in the last quarter.

The stock is trading at $49.26, up 47.11% from 52-week low of $33.78. The stock trades down -7.41% from its peak of $53.35 and % below the consensus price target of $54.15. Its volume clocked up at 0.93 million shares which is lower than the average volume of 1.16 million shares. Its market capitalization currently stands at $2.20B.

Stock Buzz: Ship Finance International Limited (NYSE:SFL)

Ship Finance International Limited (NYSE:SFL) reported earnings for the three months ended March 2016 on May 31, 2016. The company earned $0.5 per share on revenue of $117.58M. Analysts had been modeling earning per share of $0.63 with $116.33M in revenue.
Hamilton, Bermuda, May 31, 2016 — announced its preliminary financial results for the quarter ended March 31, 2016.

Highlights

  • Declaration of first quarter dividend of $0.45 per share, our 49th consecutive dividend
  • $24.7 million in profit share from Frontline in the quarter as a result of a strong tanker market
  • Continuation of the Company’s strategy of fleet renewal and diversification with sale of an older offshore support vessel in the first quarter and an older VLCC subsequent to quarter end
  • Successful delivery of two large container vessels with long term charters to Maersk Line
  • Cash redemption of the $125 million convertible notes due in February 2016 without diluting existing shareholders

Our business model has been tested through all market cycles, and we are to our knowledge the only maritime company which has been consistently profitable and paid dividends every quarter the last twelve years. Our key focus remains on prudently managing our balance sheet and our existing asset portfolio whilst sourcing new accretive opportunities through our industry relationships and unique access to deal flow.”

Ship Finance International Limited earnings per share showed an increasing trend of 50.8% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 218%.Analysts project EPS decline over the next 5 years at -7.7%. It has EPS annual decline over the past 5 fiscal years of -2.2% when sales grew 5.7. It reported 28.4% sales growth, and 98% EPS growth in the last quarter.

The stock is trading at $14.78, up 59.69% from 52-week low of $9.83. The stock trades down -9.37% from its peak of $17.8 and % below the consensus price target of $16.33. Its volume clocked up at 0.96 million shares which is higher than the average volume of 0.81 million shares. Its market capitalization currently stands at $1.35B.

Stock to Track: YY Inc. (NASDAQ:YY)

YY Inc. (NASDAQ:YY) reported earnings for the three months ended March 2016 on May 31, 2016. The company earned $0.71 per share on revenue of $234.43M. Analysts had been modeling earning per share of $0.82 with $225.6M in revenue.

YY Inc. (YY), a revolutionary real-time interactive social platform, announced its unaudited financial results for the first quarter of 2016.

First Quarter 2016 Highlights 

  • Net revenues increased by 43.4% to RMB1,649.3 million (US$255.8 million) from RMB1,150.3 million in the corresponding period of 2015.

Mr. David Xueling Li, Chief Executive Officer of YY, stated, “We continued to see solid growth momentum in our top line in the first quarter of 2016, primarily driven by our IVAS business. In particular, we saw significant growth in the mobile broadcasting business and have been able to rapidly capitalize on these opportunities through our newly launched mobile broadcasting app ME, which we will further develop this year. By featuring popular stars and hosting various entertainment events, we believe that there is significant potential to further accelerate its growth and enhance its popularity. Additionally, in the online music and entertainment business, our newly-launched Da Pai Wan Chang Hui is an interactive concert broadcasting service that connects celebrities and participants virtually. This new service clearly demonstrates our strategy to continue strengthening our professionally-generated content offerings and expand our user community. Overall, we remain confident in our market opportunities and aim to continue fortifying our position as the leading real time internet platform in China.”

Mr. Eric He, Chief Financial Officer of YY, commented, “In the first quarter of 2016, our total revenue increased by 43.4% year over year to RMB1.6 billion, reflecting the strength of our core business. Meanwhile, we were able to significantly grow the number of our paying users by 57.1% year over year to 3.89 million. Our online game broadcasting business Huya grew significantly, with an increase in revenue by 114.0% year over year and an increase in number of paying users by 131.7% year over year to 899,000.  For our online music and entertainment business, our on-going efforts to introduce diverse content resulted in a revenue increase of 55.8% year over year. Additionally, our mobile music and entertainment business continued its robust growth with a 202.8% year-over-year increase in revenue and 137.5% year-over-year increase in number of paying users. Because of the execution of our planned transition to an increasing amount of UGC content revenues across the YY platform, we have continued to experience compression to gross and operating margins.  This expected decline in margins results from the decreased concentration of our high-margin gaming revenues year over year, from 20.1% of total revenue to 10.4% in the first quarter of 2016, as revenue growth for our other offerings continues to outpace our gaming revenue. Going forward, we will continue to leverage our ecosystem and expand our innovative content and service offerings in order to meet the evolving demands of our massive user base.”

YY Inc. earnings per share showed an increasing trend of 1.1% for the current fiscal year. The company’s expected EPS decline rate for next fiscal year is 0%.Analysts project EPS growth over the next 5 years at 26.2%. It has EPS annual growth over the past 5 fiscal years of 16.8% when sales grew 115. It reported 43.4% sales growth, and -4.7% EPS decline in the last quarter.

The stock is trading at $34.6, up -1.42% from 52-week low of $34.36. The stock trades down -55.27% from its peak of $72.97 and % below the consensus price target of $68.5. Its volume clocked up at 1.58 million shares which is higher than the average volume of 1.06 million shares.

Earnings Recap: The Bank of Nova Scotia (NYSE:BNS)

The Bank of Nova Scotia (NYSE:BNS) reported earnings for the three months ended April 2016 on May 31, 2016. The company earned $1.48 per share on revenue of $6.59B. Analysts had been modeling earning per share of $1.43 with $6.44B in revenue.

Scotiabank reported second quarter net income of $1,584 million compared to $1,797 million in the same period last year. Diluted earnings per share were $1.23, compared to $1.42 in the same period a year ago. Return on equity was 12.1% compared to 15.1% last year.

During the second quarter, the Bank recorded a restructuring charge of $278 million after tax ($378 million pre-tax). Adjusting for the restructuring charge, net income increased 4% to $1,862 million and diluted earnings per share rose 3% to $1.46 compared to last year. Return on equity was 14.4% compared to 15.1% a year ago.

“The strength of our results this quarter underscores the continued strong performance of both our Canadian Banking and International Banking businesses,” said Brian Porter, President and CEO of Scotiabank. “Both businesses delivered solid asset and deposit growth and our strategy to deepen relationships with our customers has translated into growth. Partly offsetting our earnings growth were elevated loan losses in the energy sector, which are expected to decline beginning next quarter.

“Canadian Banking generated solid gains in both personal and commercial banking, which contributed to stronger operating results. A consistent focus on improving our business mix led to very strong deposit growth which supported targeted growth in assets that produce attractive returns for our shareholders.

“International Banking delivered a third consecutive quarter of at least $500 million of earnings. Earnings increased 12% from last year notwithstanding an elevated level of loan losses that are expected to decline over the second half of this year. The Pacific Alliance countries of Mexico, Peru, Chile and Colombia continued to deliver robust loan and deposit growth, which we expect to continue and reinforces our enthusiasm about the longer term potential for these markets.

“Customer behaviours and preferences continue to evolve, and Scotiabank is driving a digital transformation across all customer touch points in order to deliver a consistently excellent customer experience. The Bank’s investments to reduce structural costs, including this quarter’s restructuring charge, will contribute to the digital transformation of the Bank. Combined, these efforts should result in notable improvements in our productivity.

The Bank of Nova Scotia earnings per share showed a decreasing trend of 0% for the current fiscal year. The company’s expected EPS growth rate for next fiscal year is 620%.Analysts project EPS growth over the next 5 years at 5.98%. It has EPS annual growth over the past 5 fiscal years of 8.1% when sales grew 3.7. It reported 11.5% sales growth, and -12.7% EPS decline in the last quarter.

The stock is trading at $51.39, up 48.47% from 52-week low of $35.01. The stock trades down -3.35% from its peak of $54.21 and % below the consensus price target of $51.81. Its volume clocked up at 1.04 million shares which is higher than the average volume of 0.92 million shares. Its market capitalization currently stands at $60.79B.