AudioCodes Earnings: Here’s Why Investors are Ambivalent Now

AudioCodes Ltd. (NASDAQ:AUDC) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company.

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AudioCodes Ltd. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased to $0.02 in the quarter versus EPS of $-0.02 in the year-earlier quarter.

Revenue: Decreased 0.03% to $32.3 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: AudioCodes Ltd. reported adjusted EPS income of $0.02 per share. By that measure, the company beat the mean analyst estimate of $0.01. It missed the average revenue estimate of $32.64 million.

Quoting Management: “We are pleased to report financial results in line with our plan for the year. Our performance in the first quarter of 2013 is underlined by good progress in our key strategic initiatives and improved operational performance,” said Shabtai Adlersberg, President and Chief Executive Officer of AudioCodes.

Key Stats (on next page)…

Revenue decreased 1.55% from $32.81 million in the previous quarter. EPS decreased 33.33% from $0.03 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a loss of $0 to a profit $0.03. For the current year, the average estimate has moved down from a profit of $0.16 to a profit of $0.11 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)