Proxicom tops estimates by a penny
The Net consulting firm reports quarterly earnings of $1.9 million, or 6 cents per share, on revenues of $29.6 million, and sets a 2-for-1 stock split.
The Internet consulting firm said earnings for the period were $1.9 million, or 6 cents per share, on revenues of $29.6 million. That compares with a loss of $10,000 on revenues of $12.9 million in the same period in 1998.
Analysts expected Reston, Va.-based Proxicom to earn 5 cents per share, according to a survey by First Call.
At 1 p.m. PST, the close of regular market trading, Proxicom shares were up $1.75 to $111.75. The earnings report was issued after the close of regular trading. Proxicom shares traded as high as $117 after hours.
Additionally today, Proxicom said its board of directors approved a 2-for-1 split of its outstanding common stock to apply to shareholders as of the close of business on Feb. 9, 2000. Additional shares will be distributed to those shareholders on Feb. 24, the company said.
Proxicom, which competes against a host of Internet services and consulting firms, including Scient, Viant and iXL, attributed the better-than-expected results to an increase in new services contracts in the United States and continued expansion throughout Europe.
During the fourth quarter, Proxicom opened its London offices, Proxicom UK, a wholly owned subsidiary of the company focused on financial services contracts. Proxicom already has offices in Munich, Rome and Madrid.
Proxicom chief executive officer Raul Fernandez said the company is also building on its alliance with Ericsson's consulting unit to sell wireless applications to corporate clients in the United States as well as Europe.