Stanley Inc. Reports Operating Results (10-Q)

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Jul 29, 2010
Stanley Inc. (SXE, Financial) filed Quarterly Report for the period ended 2010-06-25.

Stanley Inc. has a market cap of $910.1 million; its shares were traded at around $37.38 with a P/E ratio of 19.4 and P/S ratio of 1. Stanley Inc. had an annual average earning growth of 32.8% over the past 5 years.SXE is in the portfolios of Ron Baron of Baron Funds, Chuck Royce of Royce& Associates.

Highlight of Business Operations:

Pursuant to the Merger Agreement, and upon the terms and subject to the conditions thereof, Merger Sub has commenced a tender offer (the Offer) to acquire all of the outstanding shares of our common stock, par value $0.01 per share (Common Stock), at a price of $37.50 per share, net to the selling stockholders in cash, without interest (the Offer Price). Following the consummation of the Offer, and subject to the satisfaction or waiver of certain conditions set forth in the Merger Agreement, Merger Sub will merge with and into us (the Merger) and we will become a wholly-owned subsidiary of CGI. At the effective time of the Merger, the shares of Common Stock not purchased pursuant to the Offer (other than shares held by us, CGI, CGI Federal, Merger Sub or by our stockholders who have perfected their statutory rights of appraisal under Delaware law) will be converted into the right to receive an amount in cash, without interest, equal to the Offer Price.

Revenues. Our consolidated revenues increased $4.6 million, or 2.2%, from $208.7 million for the three months ended June 26, 2009, to $213.3 million for the three months ended June 25, 2010. The increase was primarily due to increased services for information technology solutions for the Defense Information Systems Agency, increased biometric software development, training, and support for the U.S. Army and increased management and support services for the U.S. Army Sustainment Command, offset partially by reduced revenues associated with the completion of certain of the Companys contracts, including services provided to the U.S. Army Program Executive Office for Simulation, Training and Instrumentation (PEO STRI).

Cost of Revenues. Our cost of revenues increased $2.7 million, or 1.6%, from $173.1 million for the three months ended June 26, 2009, to $175.8 million for the three months ended June 25, 2010. This increase was primarily the result of additional costs attributable to revenues associated with

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