Shares of Stamps.com rose nearly 14 percent Friday after the company announced higher third-quarter earnings and a special dividend.

The Los Angeles maker of postage software reported net income of $2.73 million (19 cents per share) compared to $1.73 million (11 cents per share) for the same quarter last year. Revenue was up 8 percent to $18.2 million.

“We continue to see good results across the board,” said Chief Executive Ken McBride, in a statement.

The company also announced a special dividend of $2 per share to distribute excess cash and to take advantage of the current low dividend tax rate.

The dividend will cost the company about $28.5 million. Stamps anticipates ending the year with about $35 million in cash and investments. McBride said “the special dividend is a testament to our strong free cash flow generation.”

By midday, shares had risen $1.97, or nearly 14 percent, to trade at $16.25 on the Nasdaq.