Globant Shares Rise on Outlook, Strong 2Q

By Dean Seal

Globant shares jumped after the company logged strong results in the second quarter and provided optimistic guidance for the back half of the year.

The stock is up 11% at $180.66 in early trading. Shares are up year-to-date but still down 21% over the past 12 months.

The Buenos Aires-based information technology provider said it expects revenue to grow about 19% to at least $545 million in the third quarter, higher than analyst forecasts for $533.9 million, according to FactSet.

For the full year, Globant is targeting adjusted earnings of $5.72 a share on $2.09 billion in revenue, above previous analyst projections for adjusted earnings of $5.71 a share on $2.07 billion in revenue.

The guidance came after Globant posted second-quarter earnings of $36.9 million, or 85 cents a share, compared with $37.2 million, or 87 cents a share, in the same quarter a year ago.

Adjusted earnings, which strip out one-time items, were $1.36 a share, a penny above the consensus of analysts polled by FactSet.

Quarterly revenue was up almost 16% at $497.5 million, about $1 million above the market consensus.

Write to Dean Seal at [e-mail]

(END) Dow Jones Newswires

August 18, 2023 10:54 ET (14:54 GMT)

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