Software
Ansys Shoots Higher on Profit Jump
Ivy Lessner
11/06/08 - 10:46 AM EST
SAN FRANCISCO -- Shares of Ansys(ANSS Quote) jumped after the company beat third-quarter earnings estimates Thursday and issued guidance in line with the Street's expectations.
Profit at the Canonsburg, Pa., engineering-software developer rose 38% to $25.8 million, or 29 cents a share, from $18.7 million, or 23 cents a share, in the year-ago period.
Excluding items, the company earned 43 cents a share. Analysts were expecting 37 cents a share, according to Thomson Reuters.
Shares of Ansys were recently up $4.02, or 15.2%, to $30.54.
Revenue grew 37% to $128.8 million. Analysts were looking for $125.9 million.
Deferred revenue grew 30% year over year to $147.1 million. Operating margin, excluding charges, rose 180 basis points to 45.6%, from a margin of 43.8% in the same quarter last year.
"We have a strong balance sheet, strong cash flows, solid fundamentals and a disciplined team that will help to steer us through the current business climate," CEO Jim Cashman said in a statement.
Cash and equivalents are up 24% year to date to $212.4 million.
For the fourth quarter, Ansys projected revenue of $145 million to $149 million and EPS, excluding charges, of 43 cents to 45 cents. Analysts were anticipating revenue of $149.8 million and EPS of 44 cents.
For 2009, the company expects revenue of $610 million to $630 million and EPS, excluding items, of $1.84 to $1.90. Analysts were looking for revenue of $623.8 million and earnings of $1.87 a share, excluding charges.