Xyratex Flying Higher on Q2 Earnings

Xyratex

released its second-quarter earnings results after the closing bell on Thursday. The company reported net income of $7 million or $0.24 per share, compared to a net loss of $4.6 million or $0.15 per share, in the year ago period. On an adjusted basis, which is comparable to analysts' estimates, the company reported earnings of $9.3 million or $0.32 per share, versus an adjusted loss of $1.9 million or $0.06 per share, in last year's second-quarter. This compared to Wall Street consensus EPS estimates of $0.29. Profit margins in the quarter rose from 12.9% to 16.5%. Revenues came in at $322 million compared to $338.5 million last year. This missed analysts' consensus of $327.03 million. Looking ahead to the third-quarter, XRTX sees adjusted EPS between $0.39 and $0.77. Revenues are expected to be between $313 million to $373 million. This compares to analysts' consensus EPS of $0.47 on revenues of $350.05 million for the third-quarter. During Friday's trading session, XRTX shares have jumped more than 15% to $13.49.