Nuance Communications Inc (NASDAQ:NUAN) Reports Q2 Earnings


Dallas, Texas 05/12/2014 (FINANCIALSTRENDS) –Nuance Communications Inc (NASDAQ:NUAN) reported its Q2 earnings per share of $0.28, which was $0.05 better than the average analyst projection of $0.23. Revenue for this reported  quarter came in at $475.7M against the average projection estimate of $484.17M .Nuance’s Q2 financial l 2014 non-GAAP operating-margin was 23.9%, which was a drop from 29.1% in its Q2 of fiscal 2013. The company also reported its cash flow from operations of $87.0M in the Q2 of the fiscal 2014, which was a drop from $93.1 million in its Q2 of the fiscal 2013. Nuance has also ended the Q2  of the financial  2014 with the total deferred- revenue of $504.9M , in comparison to $388.3M in the previous year.

 Q2 end results

 Nuance Communications Inc (NASDAQ:NUAN) ended the Q2 of fiscal 2014 with balance of cash and cash equivalents and the marketable securities of $809.5M. As of 31 March 2014, it had repurchased 11.441M shares of the common stock at the average price/ share of $18.43, for a total-amount of $210.8 million. Sales at the company are quite solid and it is expected to bring in $2.1B this year, up from the  $2 billion that was reported  in 2013.

 The activist investor

 In 2015 Nuance Communications Inc (NASDAQ:NUAN)’s sales are expected to touch  $2.2 billion. Any tech company without any revenue growth is something very unusual in the eyes of an  average growth investor and it’ is also very  clear that some  the company will have to show some solid results if it wants more investors coming on board . Despite all of this, Carl Icahn, the activist investor has showed a great deal of interest in the company. This  hedge fund manager has acquired around 1/5th of Nuance Communications Inc (NASDAQ:NUAN)& very clearly is expecting a profit out of the investment.