Pitney-Bowes profit rises 6%

Spin-off pushed back until mid-2006

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SAN FRANCISCO (MarketWatch) - Pitney-Bowes on Monday posted a higher third-quarter profit on the back of strong demand for its wide range of mailing products, but also said a planned spin-off would take longer than expected.

The Stamford, Conn.-based company reported earnings of $144.3 million, or 62 cents a share, up from $136.5 million, or 58 cents a share, a year earlier. Excluding restructuring charges, earnings would have come in at 66 cents a share, vs. 63 cents a year earlier.

Revenue jumped 11% to $1.36 billion.

Analysts polled by Thompson First Call had expected a profit, on average, of 66 cents a share with sales of $1.34 billion.

For the fourth quarter, the postage-machine maker PBI, -1.45% forecast a profit in a range of 64 cents to 73 cents a share, or 73 cents to 75 cents a share, excluding restructuring charges.

Wall Street previously pegged a profit of 74 cents a share in the current three-month period.

Pitney-Bowes said it bought about one million, or $41 million worth, of its common shares during the quarter and now has $310 million left on its authorization for future buybacks.

The company also said the planned spin-off of most of its capital services assets will be delayed until mid-2006 because the regulatory filings have taken longer to file than previously anticipated.

Shares of Pitney-Bowes closed down 15 cents at $41.54.