Acme Packet 1Q Net Income Falls
Wednesday May 2, 5:26 pm ET
Acme Packet 1st-Quarter Earnings Decline, Hurt by Higher Expenses, but Meets Street Estimates
BURLINGTON, Mass. (AP) -- Acme Packet Inc., a maker of communications equipment that routes voice and data over IP networks, said Wednesday its first-quarter profit fell 29 percent, as expenses outpaced revenue growth.
Quarterly earnings totaled $4.3 million, or 6 cents per share, down from $6 million, or 11 cents per share, during the same period last year as operating expenses climbed 68 percent to $14.5 million.
Excluding stock-based compensation costs, the company would have earned $5 million, or 8 cents per share, in the latest quarter.
Revenue rose 33 percent to $25.1 million from $18.9 million a year ago, due to "strong traction" from new and existing customers.
Analysts polled by Thomson Financial expected profit excluding items of 8 cents per share on revenue of $25 million.
Acme Packet, which went public in October, saw shares rise 54 cents, or 4.1 percent, to close at $13.80 on Wednesday.
Acme Sees Higher Expenses in 2007
Wednesday May 2, 5:28 pm ET
Acme Packet Expects Higher Stock-Option Expense, Issues 2007 Outlook Below Analysts' Forecast
BURLINGTON, Mass. (AP) -- Acme Packet Inc., a maker of communications equipment that routes voice and data over IP networks, said Wednesday it expects revenue to grow in each quarter of 2007 but also sees higher-than-expected stock option costs.
The company, which went public in October, forecast 2007 revenue between $108 million and $112 million, and earnings of $14.5 million to $15.5 million, or 22 cents to 24 cents per share.
Adjusted earnings, which exclude a 6-cent stock-option expense, are expected to range between 28 and 30 cents per share. Previously, the company said it expected to record 3 cents per share of stock-based compensation costs.
Analysts polled by Thomson Financial are looking for higher adjusted profit of 34 cents per share on revenue of $113.4 million.
Shares closed up 54 cents, or 4.1 percent, at $13.80 on Wednesday |
