Cognex reports record-breaking 2017
American machine vision system, software, and sensor manufacturer Cognex released full-year earnings for 2017 at the end of last week. Investors should like what they read: the company set new records on revenue, net income, and earnings per share “all from continuing operations”!
Cognex’s share price is up by 58% over the past 12 months
SOURCE: Yahoo Finance
The company saw revenue growth of 35%, year on year, and outperformed even that record-breaking figure in the fourth quarter, when revenue increased by 39% against the fourth quarter of 2016. And while it missed expectations on earnings per share, this was due to a “one time charge to tax expense of $83 million” incurred as a result of the Tax Cuts and Jobs Act. Stripping that effect out, the company’s earnings per share for the fourth quarter were bang on analysts’ estimates at $0.25 (a 51% rise, year on year), and came in for the full year at $1.22 (a 54% rise, year on year).
Dr. Robert J. Shillman, Cognex’s chairman and founder, made the following statement in light of the record-breaking year: “What a fantastic year for Cognex. We set new records for annual revenue, net income and earnings per share, all from continuing operations. Our commitment to our long-term strategy continues to deliver impressive results.”
Robert J. Willett, the company’s CEO, also discussed the results, saying: “Our 2017 achievements reflect the hard work of Cognoids around the world and the entrepreneurial spirit that is an integral part of our corporate culture.We celebrate our success while staying focused on the long term. We believe the markets for our products continue to have significant growth potential as manufacturers look to automate a broadening range of industrial tasks.”
“Market dynamics were strong in 2017 and that has continued into the first quarter of 2018. Even though Q1 will likely be the lowest revenue quarter of the year, we will invest in new product development, expand our sales force and develop our IT and other infrastructure so that we are ready for the growth we expect in the years to come.”
Dominion holds Cognex in its Global Trends Managed Fund.
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