Limelight Networks, Inc.’s (NASDAQ:LLNW) loss widened in the first quarter, as the company’s results were dragged down by higher costs. The Company is a provider of high-performance content delivery network services.
Limelight Networks Earnings Cheat Sheet for the First Quarter
Results: Loss widened to $9.8 million (9 cents/diluted share) from $5.8 million.
Revenue: Rose 38% to $49.8 million YoY.
Actual vs. Wall St. Expectations: LLNW reported an adjusted net loss of of 3 cents/share. By that measure, the company beat the mean analyst estimate of a loss of 5 cents/share. Estimates ranged from a loss of 2 cents per share to a loss of 8 cents per share.
Quoting Management: “Limelight is positioned at the intersection of three exciting trends – one) the shift of video content and its accompanying advertising dollars online, two) the explosive growth of mobile Internet and tablet computing, and three) the migration of software application and IT services into the cloud. We are pleased with how this strategic positioning, our global scale and our investments in cloud-based services are leading to healthy growth,” said Jeff Lunsford, chairman and chief executive officer. “Our cloud-based services, sold alongside our core delivery offerings, are primarily software-as-a-service offerings that enjoy the technical and operational benefits of running on Limelight’s globally distributed high-performance computing, storage, and delivery platform. These services deepen our relationships with customers by helping them solve complex problems in the cloud more efficiently than they could with in-house solutions, thereby creating value within their businesses. With these Q1 results and the new Limelight Content Management solution we acquired and announced this week, we are pleased to report that we are tracking ahead of our previous plan for achieving our target operating model.”
Key Stats: Over the last five quarters, revenue has increased 38.9% on average year over year. The biggest increase came in the fourth quarter of the last fiscal year, when revenue rose 64.3% from the year earlier quarter.
Competitors to Watch: Akamai Technologies, Inc. (NASDAQ:AKAM), InterNAP Network Services (NASDAQ:INAP), Adobe Systems Incorporated (NASDAQ:ADBE), Rackspace Hosting, Inc. (NYSE:RAX), Microsoft Corporation (NASDAQ:MSFT), The Walt Disney Company (NYSE:DIS), RealNetworks, Inc. (NASDAQ:RNWK), Equinix, Inc. (NASDAQ:EQIX), and SAVVIS, Inc. (NASDAQ:SVVS)
Stock Performance: Shares of LLNW are up 4.86% from the today’s closing price of $6.38.