Trimble Inc. announces financial results for the first quarter of 2017.
First Quarter 2017 Financial Summary
First quarter 2017 revenue of $613.9 million was up 5% as compared to the first quarter of 2016. As previously announced, Trimble has changed the reporting of its segment financial results to better reflect the company's customer base and end markets, and its first quarter results are based on these new segments. Buildings and Infrastructure revenue was $188.1 million, up 8%. Geospatial revenue was $149.8 million, down 2%. Resources and Utilities revenue was $119.9 million, up 5%. Transportation revenue was $156.1 million, up 9%.
GAAP operating income was $56.6 million, up 89% as compared to the first quarter of 2016. GAAP operating margin was 9.2% of revenue as compared to 5.1% of revenue in the first quarter of 2016.
GAAP net income was $50.5 million, up 155% as compared to the first quarter of 2016. Diluted GAAP earnings per share were $0.20 as compared to diluted GAAP earnings per share of $0.08 in the first quarter of 2016.
Non-GAAP operating income of $109.2 million was up 23% as compared to the first quarter of 2016. Non-GAAP operating margin was 17.8% of revenue as compared to 15.1% of revenue in the first quarter of 2016.
Non-GAAP net income of $84.8 million was up 31% as compared to the first quarter of 2016. Diluted non-GAAP earnings per share were $0.33 as compared to diluted non-GAAP earnings per share of $0.25 in the first quarter of 2016.
The GAAP tax rate for the quarter was 23% as compared to 33% in the first quarter of 2016, and the non-GAAP tax rate was 23% as compared to 24% in the first quarter of 2016.
Operating cash flow for the first quarter of 2017 was $102.9 million, down 10% as compared to the first quarter of 2016. Deferred revenue for the first quarter of 2017 was $337.0 million, up 5% as compared to the first quarter of 2016.
During the first quarter, Trimble repurchased approximately 0.5 million shares of its common stock for $14.2 million. Approximately $116 million remains under the current share repurchase authorization as of the end of the first quarter.
"We continued to demonstrate progression in the first quarter, with accelerating revenue growth and significant margin improvement," says Steven W. Berglund, Trimble's President and Chief Executive Officer. "Our outlook for the remainder of the year anticipates continuing year-over-year improvement in both revenue and profitability."
Forward Looking Guidance
For the second quarter of 2017, Trimble expects revenue to be between $625 million and $655 million with GAAP earnings per share of $0.16 to $0.22 and non-GAAP earnings per share of $0.33 to $0.38. Non-GAAP guidance excludes the amortization of intangibles of $35 million related to previous acquisitions, anticipated acquisition costs of $3 million, the anticipated impact of stock-based compensation expense of $15 million, and $2 million in anticipated restructuring charges. GAAP guidance assumes a tax rate of 22% and non-GAAP guidance assumes a tax rate of 23%. Both GAAP and non-GAAP earnings per share assume approximately 257 million shares outstanding.
