Shares of Kona-based microalgae producer Cyanotech Corp. soared today after it reported a sharp increase in net income.

The company said it earned $599,000, or 11 cents a share in the latest quarter, up 267 percent from $163,000, or 3 cents a share for the same period a year earlier.
The earnings came on revenue of $3.925 million, up 20 percent from $3.274 million a year earlier.
Sales of both of Cyanotech’s core products, Spirulina Pacifica and BioAstin Natural Astaxanthin, grew during the quarter, the company said.
“These results affirm the company’s strategy of focusing on and building sound business fundamentals throughout the organization,” said Andrew H. Jacobson, president and chief executive officer.
“Improved production levels increased inventory, allowing better customer service. Continued cost containment delivered margin growth,” he said.
The company’s stock rose 46 cents a share, or 20 percent, to close at $2.74 today on the Nasdaq Stock Market.