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SRA Plans Split

The federal IT contractor also beats targets and guides up.
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SRA

(SRX)

posted a 44% jump in third-quarter earnings and set a 2-for-1 stock split.

The Fairfax, Va., federal information technology contractor earned $14.7 million, or 52 cents a share, up from the year-ago $10.2 million, or 37 cents a share. Revenue rose 41% from a year earlier to $226 million.

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The numbers beat Wall Street expectations, which called for a 50-cent profit on sales of $217 million.

"Our backlog of signed business orders grew and our pipeline of new opportunities increased significantly," CEO Renny DiPentima said in a postclose press release. "Since the quarter's close, we acquired Touchstone Consulting Group Inc., a growing and trusted provider of management consulting services to senior officials throughout the federal government."

SRA boosted fourth-quarter earnings guidance by a penny to 52 cents a share and guided toward revenue of $229 million. Those figures are in line with the Thomson First Call analyst consensus estimate.

The company also declared a 2-for-1 stock split in the form of a 100% stock dividend, payable May 27 to shareholders of record May 13.

SRA was halted late Monday after rising 3% to $67.36 during regular action.