ECI Telecom's third-quarter net profit rose 3% despite a 26% jump in revenue as losses from Laurel Networks, which the company bought in June for $88m., made a big dent in the bottom line.
The Petah Tikvah-based broadband telecommunications equipment maker said on Thursday that in the three months ended September 30, net profit edged up to $6.2 million from $6m. in the same period a year earlier. Earnings per diluted share were unchanged at five cents while revenue rose to $162m. from $128m. Analyst expectations for EPS ranged from 5 to 6 cents and for revenue of $156.4m. to $159.5m., as compiled by Thomson Financial Network.
The results included those of Laurel Networks, which had revenue of $2m. and losses of $7.7m. Excluding the effect of Laurel, ECI's net income increased to $13.9m.
The company said it expects quarter-on-quarter growth in profits and revenue in the fourth quarter and that 2006 growth would exceed that of the telecommunications equipment sector. However, it didn't provide more details. In its previous earnings report, the company had said the acquisition of Laurel would dilute its results until the second half of next year.
For the first nine months of the year, net profit rose to $32.2m. from $1.3m., diluted EPS rose to 27 cents from one cent, and revenue rose to $461m. from $357m.
Shares rose 3.3% to $7.81 in morning trading on Nasdaq.
M-Systems Q3 net profit soars 128%
M-Systems reported record third-quarter earnings as strong demand in all its markets helped net profit soar 128% and revenue 55%.
The Kfar Saba-based company, which develops flash-data storage for digital consumer electronics products, said on Thursday that net profit in the three months ended September 30 surged to $13.9m. from $6.1m. in the same period a year earlier. Diluted earnings per share rose to 34 cents from 16 cents and revenue rose to $132.6m. from $85.7m.
Analyst expectations for EPS ranged from 24 to 30 cents and for revenue they ranged from $109.9m. to $128m., as compiled by Thomson Financial Network.
The company raised its 2005 EPS forecast to $1.08 from prior guidance of $1 and its revenue outlook to $490m. from $450m., with president and chief executive Dov Moran saying that the upgrade reflects strong demand.
Despite the strong report, shares were unchanged at $32.87 during morning trading on Nasdaq.
Syneron Q2 net profit doubles; new CEO appointed
Medical devices company Syneron said on Thursday that third-quarter net profit doubled and that it has appointed a new chief executive.
In the three months ended September 30, net income jumped to $14.6m. from $7.3m. in the same period a year earlier, earnings per diluted share increased to 53 cents from 29 cents, and revenue increased to $25m. from $14.9m.
Analyst expectations for EPS ranged from 34 to 38 cents and for revenue they ranged from $20.76m. to $23.88m., as compiled by Thomson Financial Network.
The company said revenue was boosted by sales of its VelaSmooth device in North America and it raised its 2005 revenue guidance to a range of $91m. to $92m. from $84m. to $85m. The VelaSmooth, which received approval from the US Food and Drug Administration in July, is used to temporarily reduce the appearance of cellulite and to relieve minor muscle aches.
Nine-month net profit rose to $29m. from $19.1m. and revenue rose to $63.7m. from $40.4m.
Separately, Syneron appointed chief financial officer David Schlachet as its CEO, replacing Moshe Mizrahy, who has been with the company since its inception and oversaw its listing on Nasdaq in 2004. Syneron also appointed Shimon Eckhouse as active chairman.
Shares climbed 3.2% to $39.78 in early trading on Nasdaq.