UPDATE 1-Cogent Systems forecasts Q1 outlook above Street
(Recasts; adds details, share movement)
May 12 (Reuters) - Cogent Systems (COGT.O: Cotización) forecast a first-quarter outlook above market estimates, citing an increase in demand by its core customers and good contribution from its smaller customers across all business areas, and raised its 2008 view, sending its shares up 11 percent.
However, the biometric identification systems provider said it had delayed its first-quarter report as it voluntarily consults with the Securities and Exchange Commission over a settlement agreement with Northrop Grumman Corp (NOC.N: Cotización).
The company postponed its first-quarter conference call that was scheduled for May 12 and said it expects to announce a new date for the call later in the month.
For the first quarter, it forecast a net income of $8.2 million, or 9 cents a share, on revenue of $24.6 million. Excluding items, it expects to earn $8.8 million, or 9 cents a share.
Analysts were expecting a profit of 8 cents a share, excluding exceptional items, on revenue of $23 million, according to Reuters Estimates.
For 2008, Cogent increased its revenue outlook to $125 million to include the expected revenue from the acquisition of Maximus Inc's (MMS.N: Cotización) security solutions division. It had previously forecast revenue of $120 million.
Cogent expects earnings per share for the year to be modestly higher than its earlier forecast of 41 cents to 44 cents a share, excluding items.
Analysts expect earnings of 43 cents a share, excluding exceptional items, on revenue of $121 million.
Cogent shares rose $1.05 to $10.48 in morning trade on Nasdaq. (Reporting by John Tilak in Bangalore; Editing by Himani Sarkar)
© Thomson Reuters 2017 All rights reserved.