The coronavirus pandemic has kept businesses and consumers reliant on the internet to buy postage.
Stamps.com shares recently traded at $303.45, up 16%. The stock has more than tripled this year.
Net income registered $51.7 million, or $2.73 a share, in the latest quarter, more than triple the $14 million, or 79 cents a share, of the year-earlier quarter. Analysts surveyed by FactSet had predicted earnings of $1.26 a share for the latest period.
Stamps.com posted revenue of $206.7 million for the latest quarter, up 49% from $138.8 million in the year-earlier quarter. The FactSet analyst consensus called for sales of $153.3 million.
"In recent months, e-commerce has provided an important lifeline to many businesses and individuals in the context of the covid-19 pandemic," Stamps.com Chief Executive Ken McBride said in a statement.
"[We] value our ability to provide a best-in-class, critical shipping technology that enables such e-commerce activity for our customers and partners during this difficult time,”
Citron Research predicted last month that Shopify (SHOP) - Get Shopify, Inc. Class A Report would buy Stamps.com. The latter company “is the proven leader in online postage, … the essential tool for small biz not owned by [Shopify]," Citron wrote in a commentary cited by the Motley Fool.
Under the agreement, Stamps.com customers gain access to discounts of up to 55% off daily UPS rates, the companies said.