ANII is currently down on what I would consider extremely good earnings. Removing the tax benefit and adding a pf tax rate of 35% the company earned 0.11 in Q4 and 0.33 for FY04. Here are the numbers from Q4 (the company only posted annual numbers):
Q4 only
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Rev: 4,446 v 3,359 +32% y/y
Pretax: 983 v 587 +67%
fd shares: 6100 (e) vs. 5100 (e)
fd eps (untaxed): 0.16 v 0.12
fd eps (taxed @ 35%): 0.105 vs 0.075
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pretax margins were up to 22.1% of sales in Q4, vs 17.5% of sales in the y/y quarter. FD shares rose as a result of options now in the money, but this dilution should be just about done for next FY.
At $4.00, the stock trades at a TTM fully taxed PE of 12.
My guess is that there have been some patient shareholders who picked up shares in the low 2s that took advantage of the decent volume to unload some shares in the upper 4s. Once we burn through those shares we hopefully move higher.
Don't really have a guess at rev growth for next year, but my hope and expectation is that they could at least grow sales by the same numerical amount (i.e. approx 5MM). That would represent a y/y increase of nearly 27%. In FY04, revs increased by nearly 38%. Pretax margins were impacted this year by product mix that could also be a problem at some point in FY05. If they come in around 16% margins again, then pretax income would be 3.6MM, and pf net would be 2.33MM. Using 6.3MM for FD shares (est), then fd, ft eps would be 0.37 - 0.38. Not bad for a company growing at close to a 30% clip and trading for 11x future earnings.....
AI
