Shares of Carbonite Inc. (NASDAQ: CARB), a provider of data protection solutions including cloud and disaster recovery as a service, are 17% higher as of 11:55 a.m. EST after the company announced fourth-quarter results and an acquisition.
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Starting with Carbonite's fourth-quarter results, the company posted a 15% revenue gain to $61.7 million, which slightly missed analysts surveyed by Zacks calling for $63.7 million. On the bottom line, Carbonite reported a net loss of $1.6 million. When adjusted for special items, earnings came to $0.30 per share, which was slightly ahead of estimates calling for $0.29 per share.
According to president and CEO Mohamad Ali in a press release:
Also of major interest to investors was Carbonite entering a definitive agreement to acquire Mozy, Inc. from a subsidiary of Dell Technologies. The agreed purchase price for Mozy is $145.8 million in cash and the deal will expand Carbonite's customer base and give Mozy's customers a way to scale up with more data protection services. If the companies can generate cost synergies and cross-sell products and services, it should be a good move and definitely one of the reasons shares of Carbonite are higher Wednesday.
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