Korn/Ferry’s stock soars toward a record high after profit and sales beat expectations

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Shares of Korn/Ferry International
KFY, -0.65%
soared 9.9% toward a record high in premarket trade Wednesday, after the consulting company reported fiscal fourth-quarter profit and revenue that beat expectations, and provided an upbeat outlook for the current quarter. Net income for the quarter to April 30 rose to $41.2 million, or 73 cents a share, from $26.9 million, or 47 cents a share, in the same period a year ago. Excluding non-recurring items, adjusted earnings per share of 80 cents was above the FactSet consensus of 70 cents. Revenue rose to $475.4 million from $406.1 million, beating the FactSet consensus of $469.2 million, as fee revenue growth was only partially offset by increased compensation and benefits. For the fiscal first quarter, the company expects fee revenue of $450 million to $470 million, above the FactSet consensus of $430 million. Separately, the company announced a rebranding, including going forward as soley Korn Ferry and ending its sub-brands such Futurestep, Hay Group and Lominger. The stock had rallied 37% year to date through Tuesday, while the S&P 500
SPX, +0.17%
had gained 4.2%.


http://feeds.marketwatch.com/~r/marketwatch/marketpulse/~3/dkn9wNmNjG0/story.aspx

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