Acme Packet, Inc. (NASDAQ:APKT) reported higher profit for the first quarter as revenue showed growth. The company provides session border controllers that enable service providers to deliver secure interactive communications-voice, video and other real-time multimedia sessions-across Internet Protocol network borders.
Acme Packet Earnings Cheat Sheet for the First Quarter
Results: Net income for the communication equipment company rose to $13.7 million (19 cents/share) vs. $8.3 million (13 cents/share) in the same quarter a year earlier. A rise of 64.5% from the year earlier quarter.
Revenue: Rose 44.9% to $74 million YoY.
Actual vs. Wall St. Expectations: APKT fell short of the mean analyst estimate of 25 cents/share. Estimates ranged from 23 cents per share to 26 cents per share.
The company has enjoyed double-digit year-over-year revenue growth for the past five quarters. Over that span, the company has averaged growth of 59.6%, with the biggest boost coming in the fourth quarter of the last fiscal year when revenue rose 70.2% from the year earlier quarter.
The company has now seen net income rise in three-straight quarters. In the fourth quarter of the last fiscal year, net income rose 59.9% and in the third quarter of the last fiscal year, the figure rose more than twofold.
Gross margins grew 1.7 percentage points to 82.5%. The growth seemed to be driven by increased revenue, as the figure rose 44.9% from the year earlier quarter while costs rose 31.9%.
Competitors to Watch: Sonus Networks, Inc. (NASDAQ:SONS), Nokia Corporation (ADR) (NYSE:NOK), Cisco Systems, Inc. (NASDAQ:CSCO), Ditech Networks Inc. (NASDAQ:DITC), Oracle Corporation (NASDAQ:ORCL), Motorola Solutions Inc. (NYSE:MOT), and Juniper Networks, Inc. (NYSE:JNPR).
Today’s Performance: Shares of APKT are trading at $76.91 as of April 26, 2011 at 4:21 PM ET, down 2.6% from the previous closing price of $78.99.