Speech-recognition and imaging systems supplier ScanSoft Inc has raised its fourth-quarter earnings and revenue guidance as a result of strong revenue performance from its recently acquired SpeechWorks systems.
The Peabody, Massachusetts-based company paid $132m last April to acquire fellow speech company SpeechWorks International Inc which helped ScanSoft secure a dominant share of the speech-recognition market.
For the fourth quarter ending December 31, the company now expects to report earnings of $0.04 to $0.06 a share before amortization of acquisition-related intangibles and restructuring charges. Including the charges, the company anticipates reporting earnings between break-even and $0.02 a share.
Previously, the company had predicted operating earnings of $0.03 to $0.05 a share, and a bottom-line figure between a loss of $0.01 a share and a profit of $0.01 a share.
ScanSoft now expects to report fourth-quarter revenue of $45m to $47m, up from its guidance of $42m to $44m.
The company also cited growth for imaging applications and new partnerships in automotive and mobile device speech markets.
In the year-ago fourth quarter, the company posted operating earnings of $0.09 a share and bottom-line earnings of $0.06 a share on revenue of $28.4m.
The company will report final results for the fourth quarter and full year on February 26.
This article is based on material originally published by ComputerWire