Sapient’s 4th-quarter profit climbs as demand for technology services grows

Sapient 4th-quarter profit rises on better demand

BOSTON — Sapient Corp. said Thursday that its fourth-quarter profit jumped as demand for its technology services climbed and a large tax benefit boosted results.

For the quarter ended Dec. 31, Sapient earned $70.1 million, or 51 cents per share, compared with $25.7 million, or 20 cents per share, in the year-ago quarter.

Sapient recorded a tax benefit of $54.8 million, or 40 cents per share, in the latest quarter. Excluding that, the company earned 11 cents per share.

Analysts polled by Thomson Reuters expected adjusted earnings of 8 cents per share.

Revenue rose to $183.5 million from $164.7 million. Analysts expected revenue of $173.7 million.

For the full year, Sapient earned $88.1 million, or 66 cents per share, up from $62.5 million, or 48 cents per share, in 2008. Revenue dipped to $638.9 million from $662.4 million.

Looking ahead, the company forecast first-quarter revenue of $177 million to $181 million — higher than the $175.1 million analysts expect.

The company predicted that revenue will rise at least 20 percent in 2010, implying revenue of at least $766.7 million or more. Analysts expect revenue of $749.5 million.

Sapient also announced a special dividend of 35 cents per share. The dividend will be payable March 15 to shareholders of record as of March 1.

Shares of Sapient rose 38 cents, or 4.5 percent, to $8.74 in after-hours trading. The stock earlier finished regular trading up 5 cents at $8.36. The stock has ranged from $3.25 to $9.02 over the past year.