NEW YORK (AP) -- Shares of Stamps.com jumped Friday after posting strong third-quarter results and raised its guidance for 2012.
Revenue from its PC postage business grew 20 percent during the quarter on greater revenue from small businesses, enterprise customers, and customers with high shipping volumes. Net income far surpassed Wall Street estimates, and Stamps.com raised its net income and revenue forecasts for the full year.
Shares of the online postage retailer climbed $3.22, or 14.8 percent, to $25.02 in midday trading. The stock has lost about 35 percent of its value from its 2012 high of $33.29, which it reached in early February.
Net income totaled $7 million, or 42 cents per share. A year ago it earned $4.5 million, or 30 cents per share. If special items like relocation costs and stock-based compensation are excluded, Stamps.com said its net income rose to 50 cents per share. Revenue increased 17 percent, to $29.1 million, or 24.9 million. PC postage revenue grew to $27.2 million.
Analysts expected the company to post net income of 38 cents per share and $28.4 million in revenue, according to FactSet.
For the full year Stamps.com Inc., based in El Segundo, Calif., is forecasting adjusted net income of $1.55 to $1.75 per share and $110 million to $120 million in revenue. Its previous estimate called for net income of $1.35 to $1.55 per share on $107.5 million to $117.5 million in revenue.
Analysts expect net income of $1.61 per share and $115.5 million in revenue on average.