Shares in SI International started the day at $25.81, but had soon fallen $2.78 to $23.03. Before yesterday, the company’s share price had already dipped 21% since reaching a peak of $32.68 on December 28 2004.
Reston, Virginia-based SI International said that its figures for the year ended December 25 2004 exceeded every important goal it had set itself. The company reported net income of $10.9m, up 47.4% on the previous year, on revenue of $262.3m, up from $168.3m in 2003.
A substantial amount of SI’s growth in 2004 was due to the acquisition last January of Matcom International Corp, a services vendor to the US government sector. In the last three months, the company has also acquired Bridge Technology Corp, a provider of software applications to the defense intelligence agencies, and Shenandoah Electronic Intelligence Inc, a business process outsourcing (BPO) services provider for the Department of Homeland Security.
Looking ahead to 2005, SI has forecast net income for the year of between $15.1m and $15.6m, on revenue of between $380 and $390m. In the longer term, it aims to achieve an operating margin of 10%. Operating margins in 2004 hit a new high of 7.9%.
