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MICROS Systems Inc. (NASDAQ:MCRS) is scheduled to announce its fourth quarter and fiscal 2011 results on Thursday, August 25, 2011.

The company has consistently exceeded expectations. On average, MICROS has beaten the Zacks Consensus Estimate by 12.61% in the last four quarters.

Third-Quarter Recap

MICROS Systems posted third-quarter earnings per share (excluding one time charges but including the impact of charges for stock options) of 47 cents, compared with 37 cents in the year-ago quarter, easily beating the Zacks Consensus Estimate of 40 cents.

Revenues came in at $253.2 million, up 10.5% from the year-earlier quarter, attributed to improved customer demand on the back of favorable global economic conditions.

Fiscal 2011 Guidance

Management reiterated its fiscal 2011 revenue guidance of $1.0 billion-$1.005 billion. For fiscal 2011, net income is now expected between $151 million and $152 million, compared to the previous range of $145 million to $147 million.

Agreement of Estimate Revisions

In the absence of any significant news, the earnings estimates provided by nine analysts for fiscal 2011 have been largely static in the last 30 days.

Magnitude of Estimate Revisions

In the last thirty days, the Zacks Consensus Estimate for 2011 was stable at $1.72 per share, representing a year-over-year growth of 22.06%.

Estimates for the fourth quarter were also static at 47 cents per share, reflecting a year-over- year growth of 12.2%.

Our Take

We believe that MICROS’ partnership agreements, product innovation and acquisitions underscore its growth strategy.

In a drive to expand its mobile payment applications, the company entered a partnership agreement with VeriFone Systems Inc. (NYSE:PAY) and Tabbedout.

MICROS’ service offering Simphony supports the client in performing mission critical operations in the event of an upstream failure.

The company’s strategic acquisitions have enabled it to augment its systems product offerings, extend its customer base and expand market share.

Furthermore, in order to offer complete end-to-end solutions to hotel customers for the marketing of hotel rooms and alternative distribution platforms, the company acquired TIG Global.

Moreover, the company’s efforts in streamlining its cost structure and the resurgence in vertical markets, such as hotel, restaurant and retail, will act as positive catalysts.

However, we are concerned about the sluggish domestic hotel business. The rise in gas prices is likely to reduce discretionary spending by consumers, which in turn have an adverse impact on the restaurant business.

Thus, we would like to be on the sidelines until we get more clarity on the recovery of the company’s businesses.

We have a long-term Neutral recommendation on MICROS. Currently, MICROS has a Zacks #3 Rank, implying a short-term 'Hold' rating.

Source: MICROS Systems: Earnings Preview