Mentor Graphics offers third-quarter outlook above Wall Street expectations
By APFriday, August 21, 2009
Mentor Graphics issues strong 3Q outlook
WILSONVILLE, Ore. — Software company Mentor Graphics Corp. said Thursday it expects revenue and adjusted income in the third quarter to top Wall Street expectations.
Shares jumped $1.08, or 13.6 percent, to $9 in extended trading, having closed earlier up 14 cents at $7.92 before the earnings report.
The company, which makes electronics-testing software, said it expects revenue of $183 million and adjusted earnings of a penny per share.
Analysts were expecting revenue of $179.6 million and a loss after items of 2 cents per share, according to a survey by Thomson Reuters.
The company calculates adjusted income by excluding special items and many recurring costs from its profit or loss under accepted accounting principles. Under the generally accepted accounting standards, the company expects to lose 19 cents per share.
Mentor issued the third-quarter outlook as it released results from the second quarter ended July 31, in which it lost $21.3 million on revenue of $182.6 million. Adjusted results and sales topped expectations.
