Trimble Inc (NASDAQ: TRMB) stock rose over 4.1% on 2nd may, 2019 (Source: Google finance) though the company in the first quarter of FY 19 has reported the 8% rise in revenue to $805 million, 30% rise in annualized recurring revenue to $1.07 billion, adjusted EBITDA of 21.4% was up 60 basis points and trailing 12-month free cash flow was up 38%. Gross margin in the first quarter was 58 percent, up 90 basis points, which came from a combination of M&A and organic growth, while the adjusted EBITDA margin was 21.4 percent in the first quarter, up 60 basis points year over year. Operating income dollars rose 8.3% to $152.9 million with operating margins of 19 percent. While operating income dollars increased, net income was essentially flat on a year- over-year basis
Moreover, in the Buildings and Infrastructure segment the recente-Builder and Viewpoint acquisitions would continue to enable the objective of reinventing project delivery in construction by transforming work flows through a constructible model. The Buildings and Infrastructure segment also had two significant product launches. One was the beta release of WorksManager, which is cloud software that creates atwo-wayinter-link between the digital design in the office and machines in the field. The other meaningful product announcement was the XR10 with HoloLens 2. This is a mixed-reality device in a hard hat that allows an on-site construction worker to utilize mixed reality and Trimble’s unique construction workflows on the worksite. In the Resources and Utilities segment, the company had released the first version of Autosync software and firmware that synchronizes materials management and the management of the farm implement. The Transportation segment also had a significant product release, Trimble Pulse Telematics, in February. It connects data from the field to the back office enabling workflow optimization for technicians providing field services. ∙In the Geospatial segment, TRMB had expanded the vehicle-based mobile mapping portfolio that was successfully launched in 2018. By introducing a lower-priced version, the company had expanded the addressable market to mid-sized surveying and engineering firms and state departments of transportation.
For the second quarter, the company expects the revenue to be in the range of $850 to $880 million and earnings per share of $0.52 to $0.56 per share. The second quarter revenue range implies total company growth to be in the range of 8 to 12 percent, with organic growth in the 3 to 7 percent range plus 7 percent from acquisitions, less 2 percent from FX due to the strengthening of the U.S. dollar.