Pitney Bowes Inc.'s (PBI) third-quarter profit grew 5.1% as the
provider of mail products and services reported fewer restructuring
and write-downs, although revenue fell globally.
Shares rose 1.5% to $25.04 in after-hours trading as earnings
handily topped analysts' expectations. The stock has improved from
the 14-year low of $17.62 set in March, but is far off trading just
under $49 in 2007.
Meanwhile, Pitney Bowes narrowed its earnings target for the
year and boosted its revenue decline forecast by one percentage
point to 8% to 11%.
The company has posted falling revenue over the past year, as
customers delay orders during the economic slowdown. As a result of
the weakness, the company has trimmed jobs and is working to retain
customers.
Pitney Bowes posted earnings of $103.2 million, or 50 cents a
share, up from $98.2 million, or 47 cents a share, a year earlier.
Excluding restructuring and tax adjustments, earnings fell to 55
cents from 67 cents.
Revenue slid 12% to $1.36 billion amid a 12% decrease in U.S.
mailing revenue and a 11% decline internationally, on a
constant-currency basis.
Analysts polled by Thomson Reuters expected earnings of 54 cents
on revenue of $1.41 billion.
-By John Kell, Dow Jones Newswires; 212-416-2480; john.kell@dowjones.com