Broadridge Financial Solutions Inc. Thursday reported a 143 percent increase in profit for the July-September period on greater demand for its shareholder communication services.
The Lake Success-based processor of investor documents, votes and financial transactions said it earned $44 million in the first quarter of its 2014 fiscal year compared with $18 million in the same period a year ago.
Sales rose 10 percent, year over year, to $545 million in the three months ended Sept. 30.
"We had very strong revenue growth," chief executive Richard J. Daly said in a telephone conference before the stock markets opened Thursday.
Broadridge is Long Island's seventh-largest public company based on sales. It employs about 2,000 people, primarily in processing centers in Edgewood and Brentwood.
Daly Thursday attributed the company's financial performance, in part, to the robust stock markets and more investments in mutual funds, both of which mean increased demand for Broadridge's services.
He also said the company has aggressively rolled out Internet distribution of documents that once were only delivered via the Postal Service.
Despite analysts' prodding, Daly declined to increase his forecast for Broadridge's results for fiscal 2014, which ends June 30. "It's the first quarter, and the first half [of the year] overall is not what makes our year or breaks our year," he said. "It's certainly starting off great like this and better than we ever have."
The company expects to report a 2 percent to 4 percent increase in yearly sales in fiscal 2014 over the previous year.
Broadridge shares rose Thursday, climbing above $40 before 10 a.m. and then falling back to close at $34.87 per share in Nasdaq trading, up 37 cents, or 1 percent, from Wednesday's close.
Seeking to explain how Broadridge benefits from stock market activity, Daly cited Thursday's initial public offering of the social media network Twitter.
"I don't care what you think in terms of Twitter going up and down," he told analysts. "I can tell you Twitter is a net positive for Broadridge. These are new investor positions, new trades, new confirmations" of transactions. "And without them doing an IPO, none of that would take place."