Sapient Surges on Swing to Profit

Shares of Sapient (SAPE) skyrocketed on Friday after the company said after the bell Thursday that it swung to a second-quarter profit that beat analysts' estimates.

The Cambridge, Mass.-based IT firm posted earnings of $5.7 million, or 4 cents a share, compared with a loss of $4.4 million, or 4 cents a share, in the same period last year.

Sales were up 45% to $68 million from $46.9 million in the previous year.

Analysts had forecast earnings of 2 cents a share on revenue of $61.2 million, according to Thomson First Call estimates.

Shares of Sapient were recently up $1.52, or 28.8%, to $6.80.

"Revenues were up substantially, client satisfaction and competitive win rates remained high, hiring and utilization rates increased, and net income and cash flow improved sharply," said Jerry A. Greenberg, the company's co-chairman and co-chief executive, who added that the quarterly operating margin of 8% nearly doubled the company's target.

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