stock caught a ride Wednesday after the company reported solid earnings growth for the second quarter and issued full-year guidance that was in line with estimates.
Shares were up $2.70, or 6.4%, to $44.91 midday.
Revenue at the business intelligence software company rose 23% year on year to $363.2 million vs. $294.5 million. Analysts polled by Thomson Financial had forecast revenue of $365.1 million.
The Paris-based company had EPS of 22 cents, or net income of $21.6 million. In the prior-year period, EPS was 8 cents, or $7.9 million.
Newly acquired software maker Cartesis contributed $13 million to total revenue in the quarter.
Excluding items, EPS was 48 cents and net income was $46.6 million, compared with 31 cents and $29.1 million in the year-ago period. On that basis, analysts expected EPS of 44 cents, or $42.8 million.
"All three geographies and all three product lines reported double-digit revenue growth for the last quarter," CEO John Schwarz said in an interview.
"Operating margin had strong improvement year on year, exceeding 400 basis points, on both a GAAP and non-GAAP basis," Schwarz said. Margins are rising "at a rate that would allow us to improve 100 basis points this year over last year, despite the acquisitions" of Cartesis and Inxight, he added.
Business Objects forecast revenue of $382 million to $387 million in the third quarter and EPS, less items, of 43 cents to 47 cents. Analysts projected revenue of $383 million and an EPS, less items, of 48 cents.
For the full fiscal year, the company projects revenue of $1.52 billion to $1.53 billion and EPS, excluding items, of $2.02 to $2.10. Analysts had forecast revenue of $1.52 billion and EPS of $2.05.