CheckFree Guidance Comes In Light

Profit falls from a year earlier.
Author:
Publish date:

Shares of CheckFree (CKFR) slumped in extended trading after third-quarter revenue came in below expectations and the company guided results lower for the fourth quarter.

The stock was recently off $1.73, or 4.8%, to $34.50.

The Atlanta-based e-commerce services provider said net income fell to $30 million, or 33 cents a share, from $37.7 million, or 40 cents a share, a year earlier.

Excluding items, CheckFree said it earned 49 cents a share, in line with the consensus estimate of analysts polled by Thomson Financial.

The company said "underlying" revenue came in at $241.2 million, below analysts' estimate of $244.1 million.

For the fourth quarter, excluding the company's acquisition of Carreker, CheckFree expects revenue of $245 million to $250 million and earnings of 40 cents to 42 cents a share, and underlying earnings of 48 cents to 50 cents a share.

On this underlying basis, analysts were expecting the company to earn 54 cents a share on revenue of $257.9 million.