SDL, Inc. (Nasdaq: SDLI) said Friday second quarter results will be "well in excess" of estimates, propelled by strong bookings and a recent acquisition.
Shares in the company jumped 9 1/2 to 177 5/8 Friday morning.
The company said it expects to beat second quarter revenue expectations by about 15 percent, giving it sequential growth of about 44 percent. SDL expects to top pro-forma earnings per share, by about 24 percent or better, making sequential growth around 58 percent. First Call's consensus of 19 analysts expected a profit of 25 cents a share.
SDL cited continued strong demand for its fiber optic communication products, success in ramping shipments, and anticipation that its PIRI acquisition will close in the first full week in June.
The company also said it is finalizing several long-term contracts with key customers which give SDL greater visibility on the balance of the year; the company also projects, including PIRI, that revenue growth in 2000 over 1999 will be over 140 percent.
SDL stock has continued its climb from a 52-week low of 21 5/8 despite market conditions which have caused a considerable decline for most technology issues. The company, which makes equipment to improve optical bandwidth, saw its stock rise May 10 when it announced the acquisition of Photonic Integration Research, Inc.
SDL's top competitors include Coherent (Nasdaq: COHR), JDS Uniphase (Nasdaq: JDSU) and Lucent (NYSE: LU) according to Hoover's Online.