This was an exciting qtr for VPRT;
They are still the biggest and fastest growing Internet printing company;
Rev up 66% over same qtr for prior year;
Rev outside US increased 30%;
Gross Margin increased 70%;
EPS 16c on a fully diluted basis;
Earnings exceeded expectations;
added 528,000 new customers;
Now 6.6 million customers;
They have the ability to acquire and keep customers;
Only their 3rd Qtr as a publicly traded company;
24 consecutive up qtrs in a row;
VPRT is not just a printing company;
They are revolutionizing the print and graphics industry....limitless designs and content;
High volume process averaging over 15,000 orders per day @ $30.00 avg order;
Gross margins (GM) at 60%- 65% are 2x - 3x times higher than their competitors;
Continuing to add new service products and selling through their 16 web sites;
Capacity utilization at 70% with new plant on line in Canada;
3.5 million viewers every month;
Their repeat rate continues to grow and conversion rate is increasing dramaticly;
New additional products coming out quarterly: stamps; not pads etc...;
Investing in new products, innovation, technology, staffing, software;
Expects decreasing operating expenses in the 4th qtr;
Will continue to invest to address a $19 Billion market opportunity world-wide;
Will be re-investing for years to come;
Expecting 4th qtr @ $43mill - $45 mill ;
Expecting GM to be 67% - 68%;
4th Qtr EPS should range from 13c - 14c per share;
Annual revenue growth of between 55% - 66% and see the trend to continue;
Operating income margins excluding charges associated with employee compensation to be approx 13% - 14%;
Their committed investment will further distance VistaPrint from their competitors.
