NEW YORK (CNN/Money) -
Microsoft Corp. may fuel more gains for technology shares and the Dow Jones industrials average on Friday as the software maker reported late Thursday higher quarterly revenue on strength in the personal computer sector.
The world's largest software maker said after the close that its quarterly profit shrank on legal charges while revenue grew on sustained strength in the personal computer sector.
Redmond, Wash.-based Microsoft reported a profit of $1.32 billion, or 12 cents per share, for its third fiscal quarter ended March 31, compared with a profit of $2.14 billion, or 20 cents per share, a year earlier.
Shares of Microsoft, one of the Dow 30 components, climbed quickly following the results, rising to $27.18 from their Nasdaq close of $25.95.
Health insurer Oxford Health Plans (OHP: Research, Estimates) sank after rival WellChoice Inc. (WC: Research, Estimates) said it ended merger talks with Oxford. Oxford's shares tumbled to $49.50 on INET from $55.15 at the regular close. WellChoice was not traded after the bell.
PeopleSoft Inc. (PSFT: Research, Estimates) shares fell, however, even after it posted higher quarterly revenue on strong demand for the software it sells to large businesses for managing finances, human resources and sales. Its shares slipped to $18 from $18.89 at its regular close.
Amazon.com Inc. (AMZN: Research, Estimates) said after the bell that it swung to a profit from a year-earlier loss as the company's aggressive pricing and free shipping incentives fueled a 41 percent jump in sales, which also benefited from the impact of the weak dollar.
Its stock fell after the company issued second-quarter and full-year revenue targets that were below the high end of Wall Street estimates.
Shares of Seattle-based Amazon fell to $47.70 on INET from their close at $48.86 in regular Nasdaq trading.
Mercury Interactive Corp. (MERQ: Research, Estimates), whose software helps companies test and optimize the performance of technologies, also dropped after reporting its quarterly profit rose because of higher demand for its IT governance products. It slipped to $44.02 from $45.97 at the regular close.
Brooks Automation (BRKS: Research, Estimates) shares jumped to $20 from $18.05 at the regular close after it posted quarterly earnings that surpassed Wall Street's expectations.
Media and communications chip maker Broadcom Corp. (BRCM: Research, Estimates) jumped after it posted a quarterly profit, with revenue ahead of its raised expectations. Its shares climbed to $42.60 from $40.80 at its regular close on Nasdaq.
Big-name companies announcing earnings on Friday include Schlumberger (SLB: Research, Estimates), Xerox (XRX: Research, Estimates) and International Paper (IP: Research, Estimates).
-- Reuters contributed to the story
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