What happened

Shares of print and marketing services company Quad/Graphics (NYSE:QUAD) jumped on Wednesday, rising 31.2% by the time the market closed.

The stock's gain was fueled by Quad's second-quarter update, which included a narrower-than-expected non-GAAP (adjusted) loss per share and impressive free cash flow.

A chart showing a stock price moving higher

Image source: Getty Images.

So what

Quad/Graphics reported  second-quarter revenue of $1 billion, down 1.2% from revenue in the year-ago quarter. Organic sales were down 2.4% when excluding sales related to the company's January acquisition of ad agency Periscope.

On a non-GAAP basis, Quad lost $0.09 per share. While this was down from earnings per share of $0.23 in the year-ago quarter, it was narrower than analysts' consensus estimate of a loss of $0.17 during the period. 

Free cash flow, or cash from operations less capital expenditures, was $51 million.

Now what

Management said in its second-quarter update that it is on track to achieve its full-year guidance.

For the full year, Quad expects net sales between $4.05 billion and $4.25 billion. This compares to sales of $4.2 billion in 2018. Management expects free cash flow in 2019 to be between $145 million and $185 million, compared to $164 million in 2018.