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What: Shares of Pegasystems have popped today by upwards of 20% after the company reported earnings with strong guidance.
So what: Revenue in the fourth quarter totaled $143.8 million, which absolutely crushed the $122.6 million in sales that investors were expecting. The bottom line told a similar story, with the non-GAAP earnings per share of $0.65 blowing way past the consensus estimate of $0.33 per share in profit. CEO Alan Trefler said the company saw record bookings in the fourth quarter from both new and existing clients.
Now what: Guidance for 2013 also came out better than expected, with full-year revenue expected to be $510 million. Non-GAAP earnings per share for the year should be approximately $1.20, after excluding stock-based compensation and intangible asset amortization. Street analysts would have been happy with just $489 million in sales and $0.93 per share in profit.
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The article Why Pegasystems Shares Popped originally appeared on Fool.com.
Fool contributor Evan Niu, CFA, has no position in any stocks mentioned. The Motley Fool recommends Pegasystems. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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