Brightpoint profit tumbles below expectations

May 6, 2008
Shares of Plainfield-based Brightpoint Inc. increased 3 percent, to $9.76, this morning after sliding nearly 5 percent earlier in the day.

The gyrations came after the cell phone distributor announced late yesterday that it earned $7.3 million, or 9 cents per share, in adjusted net income in the first quarter, less than the 12 cents per share expected by analysts surveyed by Thomson Financial.

Revenue in the latest quarter was $1.19 billion, up from $642 million in the first quarter of 2007. Again, though, analysts anticipated more: $1.38 billion.

Brightpoint, the world's largest wireless phone distributor, has grown revenue at a torrid rate, in part through acquisitions.

The company said profit was negatively affected by a $1.3 million pre-tax loss in Slovakia and a $1.7 million pre-tax loss related to the relaunch of its Middle Eastern operations.

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