Shares of e-business infrastructure company Portal Software (Nasdaq: PRSF) gained more than 8.8 percent in early trading today, rising 6-1/2 to 80-1/16 one day after the company reported record fourth quarter revenue of $39 million. The $39 million represents a 252 percent increase over the $11.1 million reported in the same quarter a year earlier.
The company had net income of $400,000, compared to a net loss of $6.7 million for the fourth quarter of last year. Analysts had expected Portal Software to lose two cents per share.
Portal Software is in sort of a sweet spot. It is in a high-growth area, and many of its customers are also Internet infrastructure plays that have been doing well. Portal’s clients include Inktomi, US WEST, Qwest Communications, and Covad Communications.