Tech Data Boosts Sales View

Shares surge 7%.
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Tech Data

(TECD) - Get Report

said its first-quarter profit fell 61.5%, hurt by restructuring charges and lower sales.

But shares surged 7% Tuesday after the company boosted its second-quarter sales view.

The company earned $12.9 million, or 23 cents a share, in the quarter, compared with $33.5 million, or 56 cents a share, a year ago. Excluding restructuring charges and consulting costs for its Europe, Middle East and Africa region, earnings from continuing operations were 32 cents a share, in line with the analysts' estimate.

Revenue fell 2.4% to $4.94 billion as compared with the analysts' estimate of $4.92 billion.

The company expects to earn 30 cents to 36 cents a share in the second quarter, including 3 cents a share of options expense and excluding restructuring charges, on revenue of $4.95 billion to $5.10 billion. Analysts forecast earnings of 37 cents a share on revenue of $4.84 billion for the same period.

Shares rose $2.52 to $37.50.

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