Stocks Making News: Red Hat Inc. (NYSE:RHT), The Western Union Company (NYSE:WU), SAP SE (ADR) (NYSE:SAP)
Dallas, Texas, 09/19/2014 (ustrademedia) – Red Hat Inc. (NYSE:RHT) reported its 2Q15 financial results for the period ended August 31, 2014 with 19 percent year over year increase in both total revenue and subscription revenue to $446 million and $389 million, respectively. Operating income during 2Q15 increased 16 percent year over year to $64 million. Net income during 2Q15 increased to $47 million or $0.25 per diluted share as compared to $41 million or $0.21 per diluted share in 2Q14. Red Hat CFO, Charlie Peters said that the company experienced strong growth during 2Q15, and the rapid growth comes from Red Hat certified public cloud providers.
The Western Union Company (NYSE:WU) is under investigation by the U.S. regulators for possible securities fraud following the accusations by former employees that the company misrepresented its digital unit performance. The SEC is reviewing public statements of the company for fiscal 2011 and 2012 where it planned to increase Western Union Digital revenue to $500 million by 2015. That segment reported revenue of approximately $200 million in 2013. The company is emphasizing more on its digital business to safeguard its business from Internet and mobile phone based payments and transfers. The stock has declined roughly 8.5 percent over the past twelve months.
SAP SE (ADR) (NYSE:SAP) announced to have inked an agreement to acquire Concur through its subsidiary SAP America, Inc. Concur is the global leader in T&E (Travel and Expense) management software market and serves to nearly 23,000 customers and 25 million active users across 150 countries. Following this acquisition, SAP’s business network is estimated to have an annual turnover of more than $600 billion, addressing global corporate travel spend of $1.2 trillion annually. The transaction is expected to close by the year-end or early next year, subject to regulatory and stockholder approvals and customary closing conditions.