Blue Lava acquirer’s
stock soars 39%

Jamdat Mobile Inc. stock surged yesterday after the company issued robust 2005 and 2006 forecasts and analysts said the company is well-positioned to take advantage of growth in the mobile-gaming market.

Shares of Jamdat rose $6.82, or 39 percent, to close at $24.33 on the Nasdaq Stock Market. The jump followed a 4.5 percent increase Thursday that was preceded by a 10 percent sell-off in the company's stock between April 21 and Wednesday.

The Los Angeles-based company, which develops games and ring tones for cell phones and other devices, purchased Manoa-based Blue Lava Wireless LLC for about $137 million in cash and stock on April 20.

Blue Lava, a developer and publisher of games for mobile phones , is best known for its cell-phone version of the popular Tetris video game, in which players maneuver falling blocks of various shapes into rows.

After posting first-quarter results Thursday that were in line with the company's April 20 outlook, Jamdat forecast second-quarter earnings per share of 12 cents on revenue of nearly $19 million.

Jamdat said earnings per share on an adjusted basis in the period would be 18 cents.

Wall Street is expecting Jamdat to earn 13 cents a share on revenue of $17.7 million, according to Thomson Financial.

Longer term, Jamdat expects 2005 earnings per share of 55 cents, 76 cents on an adjusted basis, with revenue of about $80 million.

For 2006, the company estimated earnings per share of 75 cents, $1.05 on an adjusted basis, on revenue of nearly $120 million.

Wall Street is expecting Jamdat to post 2005 earnings per share of 62 cents on revenue of $79 million, and 2006 earnings of 80 cents a share on revenue of $109.1 million.

Analysts were upbeat on Jamdat's prospects in light of the company's outlook, and said the company is benefiting from both good performance in its core business and the development of a niche industry based solely on mobile gaming.