Shares in Getronics, the Dutch IT services and networking company, jumped 8% on Monday – 13% over the weekend – to 2.31 euros ($2.85), the highest for 18 months, due to the company’s higher-than-expected fourth-quarter preliminary results.
Getronics said it expects earnings before interest, tax, depreciation, amortization and exceptional items to triple to between 33m and 37m euros ($40.7m and $45.7m), from the 11m euros ($13.6m) reported in the same quarter last year.
This is on revenue that fell 14.6% to an expected 705m euros ($870.8m) year on year for the fourth quarter. The company also said it had more than 400m euros ($494m) in cash at the end of the quarter and net debt of between 10m euros and 15m euros ($12.4m and $18.5m).
The figures have injected some new confidence in the company, which has been struggling financially for the past few years after its 1999 purchase of debt-ridden Wang Global, a significantly larger US rival.
The company has since stumbled through a series of restructuring plans, including the sale of several assets and divisions, and the appointment of a new chairman and chief executive.
This article is based on material originally published by ComputerWire.