On Wednesday Computer Task Group, Incorporated (NASDQ: CTG) has shown downward move of -0.36% and ended the last trade at $8.24. The trading volume was recorded to 79,343 shares as compared to average traded volume of 92,678 shares.
CTG (CTG), a leading provider of information technology (IT) solutions and services in North America and Western Europe, recently reported its financial results for the fourth quarter and full year ended December 31, 2017.
Fourth Quarter Financial Summary
- Revenue was $74.6M, above the midpoint of guidance
- Revenue not including three largest staffing clients raised 11.3% year-over-year
- Revenue in Europe raised 18.9% year-over-year, not including favorable currency translation
- GAAP net loss was ($419,000) or ($0.03) per share
- Recognized $1.7M, or $0.11 per diluted share, non-cash charge related to new U.S. tax law; predictable to benefit from lower tax rate in 2018 and beyond
- Recognized $0.02 per diluted share non-taxable gain from life insurance proceeds
- Non-GAAP earnings were $0.06 per diluted share, at midpoint of guidance, not including the non-cash tax charge and the life insurance gain
Three-Year Planned Plan Update
CTG has made important progress on its three-year planned plan to foster growth, profitability and raise shareholder value as the guidance for 2018 includes revenue ranging from $340 to $360M, GAAP diluted earnings per share (EPS) ranging from $0.25 to $0.37, and non-GAAP diluted EPS ranging from $0.30 to $0.42. The plan, reported in early 2017, established financial performance targets to be reached by year-end 2019, including:
- Yearly revenue of $400M
- Operating margin ranging from 3.0% to 3.5%
- Diluted EPS between $0.45 and $0.55
Diversifying and Driving Revenue Growth
- Entering into new client engagements, demonstrating the Company’s ability to convert its robust pipeline of opportunities. These included:
— an electronic health record implementation with a major North American hospital system with multi-state operations;
— two-year project with a well-recognized patient portal for a large university medical center;
— a multi-year engagement supporting documentation and regulatory compliance with a refinery which is part of one of the world’s largest energy companies, and
— a contract with a large public university system which is a new end market for the Company.
- Expanding relationships with current clients to maximize organic opportunities, including selection by the Company’s largest client as a preferred provider for incremental business from a new division, and adding incremental business with a large client in a new geography.
- Renewing the contract with the Company’s largest client for two additional years, now with an expiration date of December 31, 2019.
- Announcing last week the acquisition of Soft Company, a French company with digital service offerings, immediately positioning CTG to leverage its proven platform and success in Europe by accelerating entry into France – an attractive and growing adjacent market and a new market for CTG.
(CTG) stock price showed strong performance of 0.37% in last seven days, switched up 0.73% in last thirty days and it rose 51.47% in last one year. It has 15.22 million of outstanding shares and its shares float measured at 12.69.