Broadridge Financial Solutions Inc., a provider of annual reports, proxy statements and other materials to investors, on Tuesday reported lower fourth-quarter revenue but higher net income.
Shares of the Lake Success company rose more than 11 percent to close at $129.17 Tuesday after the company forecast an increase of 12 percent to 16 percent in diluted earnings per share in fiscal 2019.
A year ago, the stock traded at $75.06.
Revenue for the quarter ended June 30 was $1.32 billion, 2 percent lower than in the year-earlier period.
But net income rose to $206.9 million, or $1.72 per diluted share, versus $187.1 million, or $1.57 per share, in the 2017 quarter.
Rich Daly, Broadridge chief executive, said in a statement that the company made investments in several areas, including artificial intelligence, blockchain and cloud technologies.
"We expect fiscal 2019 to be another strong year as we build off the momentum of 2018," he said.
Helping to boost fourth-quarter earnings was a 19.8 percent effective tax rate compared to 34.3 percent in the 2017 period. The company attributed the lower tax rate to recognition of $22 million in tax benefits related to stock-based compensation and a federal corporate tax reduction.
On Monday, the Broadridge board of directors declared a dividend of 48.5 cents per share payable on Oct. 3, reflecting a 33 percent increase in the annual dividend to $1.94.
Broadridge, with about 10,000 employees, is Long Island's second largest public company based on 2017 revenue of $4.1 billion.