Boston, MA 04/23/2014 (wallstreetpr) – Xoom Corp (NASDAQ:XOOM) is surging to a record level today as the online global money transfer service provider reported better than expected first quarter yesterday. The shares of the company are trading 20% higher during the early phase of the session.
Solid First Quarter Growth
The company has been successful to deliver both in terms of its revenue and earnings per share. Its revenue in the first quarter increased 48% to $35.9 million year-over-year. At the same time, its gross profit also jumped 57% over the last one year to $26.4 million. GAAP net income during the first quarter came in at $0.01 per share, that is $0.4 million as against the net loss of $79,000 or $0.00 per a share previous year. Non-GAAP earnings, in particular, have been impressive as it was at $0.06 per share, in comparison to $0.02 per share in the same quarter last year. The market consensus was at a net loss of $0.04 per share on revenue of $34.35 million. Xoom Corp (NASDAQ:XOOM) credited the robust performance in the first quarter to the growth in mobile channels and high quality additions to its payout networks. Moreover, the company’s president and chief executive officer, John Kunze, highlighted that the company’s risk management mechanism being best in the industry help to differentiate itself in the period. He added its loss management ensured a hassle free consumer experience while assisting in faster service delivery and apparently greater margins.
Better Second Quarter And Yearly Outlook
If the management is to be believed then Xoom Corp (NASDAQ:XOOM) expects to see an equally positive second quarter. This reflects in its projection of $38-$40 million in revenue in the second quarter and earnings per share in the range of $0.02-$0.06. The projections are very much in line with the market consensus of $39.4 million revenue and EPS of $0.05. At the same time, the company’s full year outlook exceeds that of the analysts. For the year 2014, XOOM chalks out revenue projection in the range of $157 million to $162 million and earnings per share of $0.15-$0.22 versus the market estimate of $156.9 million revenue and $0.09 EPS. Overall, the things seem to be progressing on Xoom Corp (NASDAQ:XOOM) ‘s front and its guidance this time is taking off the concerns that it created during fourth quarter projections.
