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Investing in Exelixis (EXEL)? Don't Miss Assessing Its International Revenue Trends
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Have you looked into how Exelixis (EXEL - Free Report) performed internationally during the quarter ending June 2024? Considering the widespread global presence of this drug developer, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.
In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understand a company's dependence on overseas markets, as this offers a window into the company's earnings stability, its ability to benefit from varied economic cycles and its potential for long-term growth.
Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.
Upon examining EXEL's recent quarterly performance, we noticed several interesting patterns in the revenue generated from its international segments, which are commonly analyzed and observed by Wall Street experts.
For the quarter, the company's total revenue amounted to $637.18 million, experiencing an increase of 35.6% year over year. Next, we'll explore the breakdown of EXEL's international revenue to understand the importance of its overseas business operations.
A Look into EXEL's International Revenue Streams
During the quarter, Japan contributed $6.14 million in revenue, making up 1.0% of the total revenue. When compared to the consensus estimate of $9.98 million, this meant a surprise of -38.45%. Looking back, Japan contributed $7.59 million, or 1.8%, in the previous quarter, and $17.07 million, or 3.6%, in the same quarter of the previous year.
Of the total revenue, $190.56 million came from Europe during the last fiscal quarter, accounting for 29.9%. This represented a surprise of +407.75% as analysts had expected the region to contribute $37.53 million to the total revenue. In comparison, the region contributed $35.7 million, or 8.4%, and $36.73 million, or 7.8%, to total revenue in the previous and year-ago quarters, respectively.
Anticipated Revenues in Overseas Markets
Wall Street analysts expect Exelixis to report a total revenue of $490.06 million in the current fiscal quarter, which suggests an increase of 3.8% from the prior-year quarter. Revenue shares from Japan and Europe are predicted to be 1.7% and 7.8%, corresponding to amounts of $8.34 million and $38.38 million, respectively.
For the full year, the company is projected to achieve a total revenue of $2.04 billion, which signifies a rise of 11.3% from the last year. The share of this revenue from various regions is expected to be: Japan at 1.7% ($35.07 million) and Europe at 7.5% ($151.93 million).
Closing Remarks
Relying on global markets for revenues presents both prospects and challenges for Exelixis. Therefore, scrutinizing its international revenue trends is key to effectively forecasting the company's future outlook.
In a world where international interdependencies and geopolitical conflicts are ever-increasing, Wall Street analysts closely monitor these trends for companies having international presence to adjust their earnings forecasts. Of course, there are several other factors, including a company's standing within its home borders, that influence analysts' earnings forecasts.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short -term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.
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Investing in Exelixis (EXEL)? Don't Miss Assessing Its International Revenue Trends
Have you looked into how Exelixis (EXEL - Free Report) performed internationally during the quarter ending June 2024? Considering the widespread global presence of this drug developer, examining the trends in international revenues is essential for assessing its financial resilience and prospects for growth.
In the current global economy, which is more interconnected than ever, a company's success in penetrating international markets is crucial for its financial health and growth journey. Investors must understand a company's dependence on overseas markets, as this offers a window into the company's earnings stability, its ability to benefit from varied economic cycles and its potential for long-term growth.
Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.
Upon examining EXEL's recent quarterly performance, we noticed several interesting patterns in the revenue generated from its international segments, which are commonly analyzed and observed by Wall Street experts.
For the quarter, the company's total revenue amounted to $637.18 million, experiencing an increase of 35.6% year over year. Next, we'll explore the breakdown of EXEL's international revenue to understand the importance of its overseas business operations.
A Look into EXEL's International Revenue Streams
During the quarter, Japan contributed $6.14 million in revenue, making up 1.0% of the total revenue. When compared to the consensus estimate of $9.98 million, this meant a surprise of -38.45%. Looking back, Japan contributed $7.59 million, or 1.8%, in the previous quarter, and $17.07 million, or 3.6%, in the same quarter of the previous year.
Of the total revenue, $190.56 million came from Europe during the last fiscal quarter, accounting for 29.9%. This represented a surprise of +407.75% as analysts had expected the region to contribute $37.53 million to the total revenue. In comparison, the region contributed $35.7 million, or 8.4%, and $36.73 million, or 7.8%, to total revenue in the previous and year-ago quarters, respectively.
Anticipated Revenues in Overseas Markets
Wall Street analysts expect Exelixis to report a total revenue of $490.06 million in the current fiscal quarter, which suggests an increase of 3.8% from the prior-year quarter. Revenue shares from Japan and Europe are predicted to be 1.7% and 7.8%, corresponding to amounts of $8.34 million and $38.38 million, respectively.For the full year, the company is projected to achieve a total revenue of $2.04 billion, which signifies a rise of 11.3% from the last year. The share of this revenue from various regions is expected to be: Japan at 1.7% ($35.07 million) and Europe at 7.5% ($151.93 million).
Closing Remarks
Relying on global markets for revenues presents both prospects and challenges for Exelixis. Therefore, scrutinizing its international revenue trends is key to effectively forecasting the company's future outlook.In a world where international interdependencies and geopolitical conflicts are ever-increasing, Wall Street analysts closely monitor these trends for companies having international presence to adjust their earnings forecasts. Of course, there are several other factors, including a company's standing within its home borders, that influence analysts' earnings forecasts.
At Zacks, we place significant importance on a company's evolving earnings outlook. This is based on empirical evidence demonstrating its strong influence on a stock's short -term price movements. Invariably, there exists a positive relationship -- an upward revision in earnings estimates is typically mirrored by a rise in the stock price.
The Zacks Rank, our proprietary stock rating tool, comes with an externally validated impressive track record. It effectively utilizes shifts in earnings projections to act as a dependable barometer for forecasting short-term stock price trends.
Exelixis, bearing a Zacks Rank #3 (Hold), is expected to mirror the broader market's movements in the near term. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Exploring Recent Trends in Exelixis' Stock Price