Employee management software company
has agreed to acquire BrassRing, a company that provides software, services and outsourcing to help organizations manages their workforces, for $115 million.
Kenexa expects its third-quarter results, which will be reported on Nov. 1, to meet or exceed the upper end of the previously issued guidance, and said it will exceed the high end of its $25 million to $26 million total revenue guidance range. It previously issued guidance of $4.9 million to $5.2 million in non-GAAP operating income. The company expects non-GAAP earnings per share at the high end of the previously issued guidance range of 21 cents to 22 cents. Analysts expect 22 cents EPS on $26 million in revenue, according to the average Thomson First Call estimate.
Kenexa will provide fourth-quarter guidance when it reports third-quarter results on Nov. 1. It expects its acquisition of BrassRing to close in the fourth quarter. Assuming that's the case, Kenexa has provided preliminary guidance for the full-year 2007: $176 million to $180 million in revenue, non-GAAP operating income of $36 million to $38 million, and EPS of $1.12 to $1.18. Analysts expect full-year EPS of 92 cents on $101.7 million in revenue.