Shares of PeopleSupport (PSPT) jumped in after-hours trading Monday as the outsourcing-services provider beat Wall Street's second-quarter earnings expectation and offered a strong guidance.
PeopleSupport reported earnings of $3.8 million or 20 cents a share, up from $2.2 million, or 12 cents a share, a year ago. Revenue climbed 76% to $25.9 million. Analysts polled by Thomson First Call had expected earnings of 11 cents a share and revenue of $23.7 million.
Looking ahead, the company forecast third-quarter earnings of 13 cents to 15 cents a share, with revenue between $26.2 million and $27 million. Analysts, on average, predict earnings of 11 cents a share and revenue of $24.8 million. For the full year, PeopleSupport expects earnings of 55 cents to 60 cents a share and revenue of $101 million to $103 million. Analysts are looking for earnings of 47 cents a share and revenue of $96.7 million. Shares advanced $1.97, or 15%, to $13.80 in after-hours trading.
Affymetrix (AFFX - Get Report) stumbled after the biotech company swung to a wider-than-expected second-quarter loss. The company recorded a loss of $10.1 million, or 15 cents a share, compared with income of $7.8 million, or 12 cents a share, a year ago. The company's latest-quarter results also include costs for stock options, which were not factored into the year-earlier results. Excluding those costs, Affymetrix would have posted a loss of $6.2 million, or 9 cents a share. Wall Street expected a loss of 1 cent a share. Revenue totaled $80.1 million, down from $84.1 million a year ago and below analysts' target of $88.7 million.Affymetrix also said that it conducted an internal review of its historical stock-option grant practices from Jan. 1, 1997, through May 31, 2006, and found "certain documentation lapses" from 1997 to 1999. There was one instance where the company determined the option grant date should have been recorded differently. The review, though, didn't indicate any pattern of inappropriately backdating grant dates to provide "discounted" or "in-the-money" grants, Affymetrix said. Shares slipped $1.97, or 9.1%, to $19.60 after hours.