Reynolds & Reynolds Guides Up

It says cost management and currency gains boost earnings.
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Reynolds & Reynolds

(REY)

said earnings in the current quarter will be above its previous forecasts, thanks to cost management and currency gains.

The automotive marketing systems company expects to earn 32 cents to 36 cents a share in the fourth quarter ending Friday, up from its old estimate of 24 cents to 28 cents a share. Analysts surveyed by Thomson First Call had been expecting earnings of 26 cents a share on revenue of $231 million.

"The increase in per-share earnings is due to a variety of causes including strong cost management, timing of expenses and foreign-exchange gains," the company said in a statement.

The stock added $1.15, or 4.6%, to $26.11 Wednesday morning.