Tuesday, FirstService Corp. (FSRV, FSRV.TO), a globally diversified real estate service provider, reported a decline in earnings for the first quarter despite top line growth, upon a decrease in income from discontinued operations from last year and higher expenses.
Net income available to common shareholders declined to US$15.25 million, or US$0.47 per share, from US$18.08 million, or US$0.56 per share, in the prior year.
Income from continuing operations was US$16.11 million, or US$0.41 per share, up from US$15.69 million, or US$0.48 per share, in the previous year.
On average, 16 analysts polled by First Call/Thomson Financial expected earnings of US$0.23 per share for the quarter.
Adjusted net earnings from continuing operations for the quarter rose to US$19.04 million, or US$0.51 per share, from US$18.22 million, or US$0.48 per share, in the prior year.
Income from discontinued operations for the quarter was $1.75 million, compared to $2.4 million a year ago. Selling, general and administrative expenses increased to US$138.15 million from US$105.99 million in the prior year quarter.
Quarterly revenues grew 24% to US$457.8 million from US$370.49 million in the year ago period and topped Street estimates of US$456.02 million.
During the quarter, the company repurchased 960,300 Subordinate Voting Shares under its Normal Course Issuer Bid, representing 3.2% of the shares outstanding prior to the repurchase, at an average price of $15.47 per share. The company is authorized to repurchase up to an additional 1.76 million shares under the NCIB, which expires on June 6, 2009.
FSRV closed Tuesday's trading at $15.65, up $2.18 or 16.18% on a volume of nearly 66 thousand shares. The shares traded in the after hours at $16.00, up $0.35 or 2.24%.
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