Sonus Networks Earnings Cheat Sheet: Higher Costs Hurt Profits
Sonus Networks, Inc.’s (NASDAQ:SONS) loss widened in the first quarter, as the company’s results were dragged down by higher costs. Sonus Networks, Inc is a provider of voice infrastructure solutions for wireline and wireless service providers.
Sonus Networks Earnings Cheat Sheet for the First Quarter
Results: Loss widened to $12.4 million (4 cents/diluted share) from $134,000.
Revenue: Rose 7.8% to $67.3 million YoY.
Actual vs. Wall St. Expectations: SONS was about in line with expectations as the mean analyst estimate was breaking even.
Quoting Management: “I am pleased with the progress made by the team toward our annual goals, as we lay the foundation for our future,” said Ray Dolan, President and Chief Executive Officer of Sonus Networks. “We have focused on building the team, establishing channel partnerships, and expanding our NBS business. These are important investments that we believe will drive sustained growth and innovation at Sonus.”
Key Stats: Over the last five quarters, revenue has increased 11.2% on average year over year. The biggest increase came in the first quarter of the last fiscal year, when revenue rose 52.2% from the year earlier quarter.
Competitors to Watch: Alcatel-Lucent (NYSE:ALU), Cisco Systems, Inc. (NASDAQ:CSCO), Telefonaktiebolaget LM Ericsson (NASDAQ:ERIC), TEKELEC (NASDAQ:TKLC), Tellabs, Inc. (NASDAQ:TLAB), Ditech Networks Inc. (NASDAQ:DITC), Symmetricom, Inc. (NASDAQ:SYMM), Sycamore Networks, Inc. (NASDAQ:SCMR), Performance Technologies (NASDAQ:PTIX), and Juniper Networks, Inc. (NYSE:JNPR)
Stock Performance: Shares of SONS are trading at $3.53 as of May 3, 2011 at 4:51 PM ET, down 3.8% from today’s closing price of $3.67.