CDK Global Inc.said its financial results for the fourth quarter of its fiscal year ended June30 will exceed its earlier forecasts.
CEO Brian MacDonald attributed the "exceptionally strong"quarter to the positive impacts of the company's business transformation plan. InMay, the company announced its reorganizationinto two operating groups. In June, it acceleratedits plan to return $1 billion of capital to shareholders.
Based on preliminary, unaudited results for its fiscal fourthquarter, CDK Global expects to report a 43% year-over-year increase in net earningsattributable to the company. On an adjusted basis, the company anticipates net earningsattributable to the company to climb 69% year over year, higher than the forecastincrease of between 53% and 57%.
The company said it will report a 48% year-over-year increasein net earnings attributable to the company per share, resulting in 37 cents pershare for its fiscal fourth quarter. On an adjusted basis, an increase of 75% innet earnings attributable to the company per share is expected to be reported, resultingin 49 cents per share. The company initially forecast an increase of approximately57%, or 44 cents per share, on an adjusted basis.
The company expects earnings before income taxes to increase31% year over year. Adjusted EBITDA is anticipated to jump 40%, surpassing the forecastincrease of between 33% and 38% for the quarter.