Dolby shares rise after earnings beat
Dolby Laboratories Inc. shares rose 5% in the extended session Wednesday after the company beat consensus earnings. The company reported fiscal second-quarter net income of $73.4 million, or 70 cents a share, compared with $65.2 million, or 61 cents a share, in the year-ago period. Adjusted for items such as stock-based compensation and changes to the U.S. tax code, earnings were $1.04 a share, compared with 73 cents a share in the year-ago period. Revenue rose to $338.3 million from $301.4 million in the year-ago period. Analysts surveyed by FactSet had estimated earnings of 52 cents a share on revenue of $337.4 million. For the fiscal third quarter, analysts model earnings of 56 cents a share on sales of $304 million. Dolby said it expects third-quarter adjusted earnings of 62 cents to 68 cents a share and sales of $295 million to $315 million. Dolby stock has gained 6.4% this year, with the S&P 500 index rising 11%.
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