Rackspace Profit In Line With Estimates

(RTTNews) - Rackspace Hosting Inc (RAX), a provider of cloud computing services, on Monday reported first-quarter net earnings of $28.4 million or $0.20 per share compared with $25.4 million or $0.18 per share last year.

Revenues for the quarter were up 14% at $480.2 million compared with $421 million in the prior year.

Analysts polled by Thomson Reuters estimated earnings of $0.20 per share on revenues of $481.6 million for the quarter. Analysts' estimates typically exclude special items.

On a constant currency basis, revenues grew 16.6% from a year ago.

For the second quarter, the company expects revenues to grow 1.5% to 2.5% on a constant currency basis.