Home » News » CROs/Service Providers » PharmaNet Comes Back Again, Shares up 30%

PharmaNet Comes Back Again, Shares up 30%

Thursday, July 31, 2008

PharmaNet Development Group is making its latest comeback—in a big way. The contract research organization (CRO) blew away analysts’ expectations when it reported second quarter earnings after the closing bell Wednesday. Its shares were up more than 30% to $23.62 in late morning trading Thursday.

The company swung to a profit, reporting second-quarter net income of $2.2 million, or 11 cents a share, compared with a net loss of $4.5 million, or 24 cents, in the prior year quarter. Estimates from analysts were four cents a share. Jefferies & Co. boosted its stock rating from hold to buy.

PharmaNet’s second quarter revenue jumped 13% to $96.8 million. The company stuck with its 2008 guidance for net income of 53 cents to 63 cents on a range of revenue of $390 million to $399 million.

Early stage development was a strength in the quarter with direct revenue jumping 40% to $43 million.

Looking for more news, check out the new FREE CenterWatch Weekly!

The new FREE CenterWatch Weekly is your source of critical news, emerging trends, and business issues around everything in the rapidly changing clinical research marketplace. Check out our new CWWeekly page! Sign up today for your free email newsletter, update your bookmarks and check us out regularly! We look forward to bringing you the best news and information about clinical research in 2018!