SAN DIEGO (AFX) - Leap Wireless International Inc., which sells flat-rate and prepaid cell phone plans, said Thursday its second-quarter profit multiplied due to a slew of new customers.
Quarterly earnings rose to $7.5 million, or 12 cents per share, from $1.1 million, or 2 cents per share, during the same period last year.
Analysts polled by Thomson Financial forecast a loss of 3 cents per share.
Revenue increased 18 percent to $267.9 million, from $226.8 million in the comparable period in 2005. Analysts were looking for revenue of $271.4 million.
Leap said it added nearly 58,000 customers during the quarter, compared with 2,700 new customers in the year-ago quarter. The company credited some of the increase to its expanded Cricket service, which offers customers unlimited, flat-rate service plans.
Shares of Leap Wireless spiked $2.12, or 5.2 percent, to $42.99 in aftermarket activity, making back most of the $2.44 it lost during the day's Nasdaq session. The stock has ranged between $31.10 and $49.47 over the past year.
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