Upbeat Quarterly Results, Share Buyback Send Workday Shares Higher In Pre-market

(RTTNews) - Shares of Workday, Inc. (WDAY), a provider of enterprise cloud applications, were rising more than 13 percent in pre-market on Friday to $262, after reporting better-than-expected second-quarter profit. The company also announced a share buyback of up $1 billion.

The company posted net income of $132 million or $0.49 per share for the second quarter, higher than 79 million or $0.30 per share in the same quarter a year ago.

Excluding one-time items, earnings were $1.75 per share, that beat the analysts' average estimate of $1.65 per share.

Total revenues were $2.085 billion, an increase of 16.7 percent from the previous-year quarter. Subscription revenues increased 17.2 percent to $1.903 billion.

For the full year, the company continues to expect subscription revenue between $7.700 billion and $7.725 billion, a growth of about 17 percent.

Workday shares had closed at $231.08, down 1.04 percent on Thursday. The stock has traded in the range of $199.81 - $311.28 in the last 1 year.