ATLANTA (AP) — Shares of Ebix Inc. posted strong gains Thursday after the insurance technology provider said its fourth-quarter net income rose 8 percent, helped by a steep jump in revenue at its exchange software business.
Ebix earned $18.7 million, or 48 cents per share, in the final three months of 2012, up from $17.3 million, or 44 cents per share, in the same quarter a year earlier.
Revenue rose 23 percent to $54 million from $44.1 million, as revenue related to its on-demand exchange software jumped 26 percent to $43.3 million. Broker systems revenue increased 6 percent to $4.9 million.
For the full year 2012, Ebix earned $70.6 million, or $1.80 per share, down from $71.4 million, or $1.75 per share, in 2011. A reduction in the number of outstanding shares helped lift the per-share results by almost 7 cents.
Revenue increased to $199.4 million from $169 million.
Ebix shares rose $1.54, or 9.9 percent, to $17.08 in morning trading, after peaking at $17.44 shortly after the open. Over the past 52 weeks, the company's shares have traded between $12.08 and $24.90.