Positivo Advances Most in Two Months on Quarterly Earnings
Positivo Informatica SA (POSI3), Brazil’s biggest computer maker, rallied in Sao Paulo after Banco Santander SA said second-quarter results showed the company is keeping costs under control even as profit declines.
Positivo gained 6.8 percent to 5.51 reais at 4:15 p.m. New York time, the steepest increase since June 6. The stock is down 43 percent this year, compared to a 21 percent drop for the benchmark Bovespa index.
Profit excluding some items fell 69 percent from a year earlier to 9.5 million reais ($6 million), the company said in a regulatory filing Aug. 12 after the market closed. While adjusted net revenue slid 6.8 percent to 551 million reais, operating costs declined at a faster pace, dropping 7.6 percent to 127.7 million reais, according to the statement. The company posted 6.8 million reais in net income without adjustments, an item for which it didn’t provide a year-earlier number.
“We applaud Positivo’s improved discipline on cost control,” analysts at Banco Santander SA, including Valder Nogueira, wrote in a note to clients today. “We see more positives than negatives” in the second-quarter results, he said.
To contact the editor responsible for this story: David Papadopoulos in New York at email@example.com