Daily NewsView All News
Computer Task Group Inc. (NASD: CTGX) revenue rose 22.2 percent year over year to $95.9 million in the company’s fiscal first quarter ended April 1. The company had revenue of $78.5 million in the first quarter of the previous year.
Staffing revenue rose 16.5 percent to $62.2 million from the year-ago quarter. The company’s solutions segment posted $33.7 million in revenue, a 34.3 percent increase over year-ago revenue. European revenue rose 3 percent to $17.1 million.
“The demand for managed staffing services was higher than expected in the quarter, resulting in revenue exceeding our guidance and earnings per share at the top end of guidance,” said Chairman and CEO James Boldt. “There also were several large new business wins in our healthcare practice in the quarter.”
Gross margin was 20.6 percent compared with 21.7 percent a year ago.
The company reported first-quarter net income of $2.8 million, a 58.3 percent jump over the year-ago level.
Going forward, CTG expects to post revenue of between $97.0 million and $99.0 million in the second quarter, an increase of between 19.5 percent and 22.0 percent over revenue of $81.1 million in the second quarter of 2010.
Further, the company is adjusting upward its revenue projection for 2011 to be between $380 million and $400 million from, an increase of between 14.7 percent and 20.7 percent from 2010 revenue.
Computer Task Group Inc. (NASD: CTGX)
Results for the quarter ended April 1, 2011, compared with the period ended April 2, 2010.
Revenue: $95.9 million, +22.2 percent
Net income: $2.8 million, +58.3 percent