LogMeIn posts 1Q loss, hurt by litigation costs

Software company LogMeIn posts 1Q loss, hurt by litigation costs, but revenue rises 15 pct

Associated Press

WOBURN, Mass. (AP) -- LogMeIn Inc. slid to a loss in the first quarter, as the software company absorbed charges related to a patent dispute and other costs, offsetting a 15 percent jump in revenue.

The company's adjusted results trumped Wall Street estimates, sending its shares up more than 16 percent higher in aftermarket trading on Thursday.

LogMeIn, which operates a service that lets people remotely access their computers, reported a loss of $5.8 million, or 24 cents per share, in the three months ended March 31. That compares with net income of $76,000, or break-even on a per-share basis, a year ago.

Excluding the impact of paying employees in stock, acquisition-related costs and expenses stemming from patent litigation, LogMeIn's per-earnings fell to 12 cents from 14 cents the year before.

Analysts expected adjusted earnings of 10 cents per share, according to FactSet.

Quarterly revenue grew to $37.4 million from $32.7 million. Analysts were expecting $36.3 million.

Management said the company drew 2.7 million first-time users and 37,000 new premium subscribers during the quarter, record benchmarks for LogMeIn.

Looking ahead, LogMeIn expects adjusted second-quarter earnings per share to range from 11 cents to 12 cents, and revenue between $39 million and $39.5 million. Analysts have forecast adjusted earnings of 11 cents per share on $37.8 million in revenue.

For fiscal 2013, the company anticipates adjusted earnings per share between 46 cents and 50 cents, and revenue from $157 million to $160 million. Wall Street is looking for adjusted earnings of 46 cents per share on $155.1 million in revenue.

Meanwhile, LogMeIn named a new chief operating officer, William Wagner. He most recently held the same post at Vocus, a software company.

LogMeIn shares ended regular trading up 61 cents, or 3.5 percent, at $17.86. The stock jumped $2.94, or 16.5 percent, to $20.80 in extended trading. Shares are down about 20 percent this year.

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