TSC Ratings' Updates: Gannett

Pharmanet's revenue growth in its recent quarter slightly increased by 9.9% compared with the same quarter one year prior, outpacing the industry average of 8.2%. The growth in the company's revenue appears to have helped boost the earnings per share. The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the life sciences tools and services industry. The net income increased by 148.3% when compared with the same quarter one year prior, rising to $2.18 million from a loss of $4.52 million.

The gross profit margin for the firm is currently lower than what is desirable, coming in at 33.3%. It has decreased from the same quarter the previous year. Along with this, the net profit margin of 1.80% trails that of the industry average. Net operating cash flow has significantly decreased to -$8.56 million, or 152.83%, when compared with the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.

Despite currently having a low debt-to-equity ratio of 0.52, it is higher than that of the industry average, inferring that management of debt levels may need to be evaluated further. Despite the fact that Pharmanet's debt-to-equity ratio is mixed in its results, the company's quick ratio of 1.66 is high and demonstrates strong liquidity. Pharmanet Development had been rated a sell since May 2, 2008.

Spreadtrum Communications (SPRD Quote), which designs, develops, and markets baseband processor solutions for the mobile wireless communications market, was initiated with a sell.