J2 Shares Up After Earnings

0

Shares in J2 Global Communications Inc. surged more than 12 percent after the company reported strong sales and a bright outlook for 2007.


J2 reported net income of $53.1 million ($1.04 per share), up 5 percent from $50.6 million (99 cents) from the same period a year earlier. Analysts polled by Thomson Financial were expecting net income of $1.09 per share.


Revenue for the Los Angeles-based provider of messaging and communications services was up 26 percent to $181 million, falling in line with Wall Street expectations. The company said the rise in revenue reflected increases in prices it charges for services.


J2 said it expects 2007 revenue of $217 million to $229 million with net income ranging from $1.35 to $1.45 per share.


J2 had delayed its earnings due to an internal probe into the company’s stock options granting practices, which found no wrongdoing, a spokeswomen said.


Shares in J2 were up $3.01, or 12 percent, to $27.76 in afternoon trading Tuesday on the Nasdaq.

No posts to display