ADTRAN, INC. REPORTS SECOND QUARTER 1998 RESULTS<ADTN.O> Although I liked this one based on technical chart as it was not on my earnings plays watch list, I still like it. It came in one cent below expectations and I expect it to rebound. I'm not to quick to put stocks such as this one on the earnings play watch list for just the scenario that played out today with ADTN.. Stocks in this sector or technology sector are only plays for me intraday when earnings are involved. Watch for ADTN to recover in the next periods.
ADTRAN, INC. REPORTS SECOND QUARTER 1998 RESULTS
HUNTSVILLE, Ala.--(BUSINESS WIRE)--July 14, 1998--ADTRAN, Inc.
(NASDAQ: ADTN) reported results for both the second quarter and the
first six months ended June 30, 1998. Sales for the quarter increased
20.3% to $71,155,000 from sales of $59,125,000 for the quarter ended
June 30, 1997. Sales for the six-month period ended June 30, 1998
increased 13.4% to $136,483,000 compared to sales of $120,355,000 for
the first six months of 1997.
Net income for the quarter increased 49.7% to $10,451,000 from
net income of $6,980,000 for the quarter ended June 30, 1997. Net
income for the first six months of 1998 increased 21.4% to $20,038,000
compared to net income of $16,503,000 for the first six months of
1997. Earnings per share, assuming dilution, for the second quarter
increased 44% to $.26 compared to earnings per share of $.18 for the
second quarter of 1997. Earnings per share for the first six months
for 1998 increased 21% to $.51 compared to earnings per share of $.42
for the first six months of 1997.
ADTRAN Chairman and Chief Executive Officer Mark C. Smith stated,
"Strong growth in the Company's Customer Premise Equipment (CPE)
business continued in the second quarter. This segment grew by more
than 48% to $31,474,000 from $21,184,000 over the prior year. The
growth in CPE sales was driven principally by sales of T1 products and
reflects the demand for increased bandwidth. We are pleased that our
products are receiving recognition for their value to our customers in
this market."
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