MELVILLE, N.Y. (AP) — Semiconductor distributor Nu Horizons Electronics Corp. reported a first-quarter profit Thursday, as recovering demand among businesses for new technology helped it recover from a loss a year earlier.
Shares spiked 9 percent in electronic trading after the market closed.
For March through May, Nu Horizons said it earned $3.4 million, or 18 cents per share. In the year-ago quarter, the company lost $944,000, or 5 cents per share.
Revenue jumped 43 percent to $210.8 million from $147.8 million in the same period last year.
Nu Horizons was one of many technology companies to benefit as businesses began replacing old computers, servers and other equipment once the worst of the recession passed.
The company had ended a distribution agreement with chip maker Xilinx Inc. on June 5, after the quarter had ended. Xilinx products accounted for 32 percent of the company's total sales in the previous fiscal year. In the fiscal first quarter, Xilinx products made up about 29 percent of Nu Horizons' revenue.
"In order to remain profitable without Xilinx, the company will have to continue to increase sales in future quarters," Nu Horizons CEO Martin Kent said.
The company said Thursday it secured a new $80 million loan.
Company shares rose more than 9 percent, or 29 cents, to close at $3.35 Thursday, and another 9 percent to $3.65 in electronic trading after the markets closed.