Resources Connection Profit Tops Estimates, Revenue Misses

(RTTNews) - Resources Connection Inc (RECN) on Wednesday reported third-quarter net earnings of $6 million or $0.16 per share compared with $2.3 million or $0.06 per share last year.

Revenues for the quarter were up 10.6% at $146.8 million compared with $132.7 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.12 per share on revenues of $148.4 million for the quarter. Analysts' estimates typically exclude special items.

Gross margin for the quarter improved to 37.3% from 36% in the prior year, primarily due to improvement in the bill to pay rate ratio and one less paid holiday in the current quarter, the company said.

Resources Connection is a provider of consulting and business initiative support services.