Resources Connection Inc. Beats Estimates (RECN)

Resources Connection Inc. RECN reports Q3 earnings of $0.03 versus consensus of $0.00. Resources Connection Inc. reports revenues of $123.7 million versus consensus of $120.59 million. Revenues increased 4.6% sequentially. During the first quarter of fiscal 2011, the company purchased 479,000 shares of common stock for $6.1 million. "The improvement in both revenues and adjusted EBITDA for the first quarter on a year-over-year basis is encouraging," said Tony Cherbak, chief operating officer. "We are pleased to achieve a cash flow margin of 9% on adjusted EBITDA of $11.1 million in a seasonally weak quarter. We believe we can grow our business throughout the remainder of the year and increase the leverage of our business model." "I am pleased with the company's performance this quarter," said Don Murray, chief executive officer. "We generated net cash of $7.1 million, purchased $6.1 million of our common stock, and maintained good operating margins, all while being fiscally prudent with our cost structure. We remain committed to providing a superior value to our clients, rewarding our employees for their achievements and providing a solid return to our shareholders." Shares of RECN are bid higher in the after-hours.