(By Balachander) Pandora Media Inc. (NYSE:P) shares jumped 12.60 percent in extended trading on Wednesday after the Internet radio services company posted better-than-expected quarterly results and issued an upbeat forecast.
On a non-GAAP basis, Pandora reported breakeven earnings, versus market expectations of a loss of 3 cents a share for the second quarter. The company's net loss widened to $5.41 million from $1.81 million as jump in expenses offset revenue growth.
Revenue rose 51 percent to $101.27 million on jump in advertising and subscription revenue, beating Wall Street projections of a growth of 50.7 percent.
The company noted that total listener hours grew 80 percent to 3.30 billion.
Total costs and expenses surged 63 percent to $106.5 million.
Looking ahead for the third quarter, Pandora forecasts non-GAAP earnings per share to be between breakeven and $0.01 on revenue of $115 million to $118 million. Analysts expect breakeven earnings on revenue of $114.4 million.
For the full year, the company now expects non-GAAP loss per share in the range of 4 cents to 8 cents on revenue between $425 million and $432 million. Analysts expect a loss of 12 cents per share on revenue of $424.1 million.
The company earlier expected non-GAAP loss per share between 7 cents and 11 cents on revenue of $420 million to $427 million.
The stock, which has been trading in the 52-week range of $7.83 to $15.98, closed at $10.08 on Wednesday.