Computer Task Group tops Wall Street's 1Q estimates, ramps up European operations

Computer Task Group Inc (NASDAQ:CTG) topped revenue estimates in its third-quarter results as it continues its growth in Europe.

The information technology staffing company reported earnings of $0.06 per share on revenue of $90.3 million compared with $0.05 on revenue of $74.04 million in the previous year’s third quarter.

The New York-based company’s earnings were in-line with Wall Street estimates, but its revenue topped expectations of $88.72 million.

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“Third quarter revenue grew nearly 22% year-over-year to $90.3 million, which was above the high-end of our $86 to $90 million guidance range due to the ramp-up of our Health Solutions business with multiple new clients, and continued growth in our European operations,” said CEO Bud Crumlish in the company’s press release.

For the fourth quarter, the company expects earnings from $0.06 to $0.10 per share on revenue between $89 million to $94 million.

Full-year earnings are forecast to be in the range of $0.26 to $0.30 per share, below its prior guidance of $0.30 to $0.36 per share. Revenue for the full-year is expected to be between $355 million to $360 million, slightly above its previous guidance of $350 million to $360 million.

CTG provides staffing services to major tech companies and other large corporations in North America and Western Europe.

Shares of the company closed up nearly 4% to $5.34 by Wednesday’s closing bell.

Contact Lenore Fedow at [email protected]

Follow her on Twitter: @LenoreMariee

Story by ProactiveInvestors