Adtran Fourth Quarter Results Top Estimates

(RTTNews) - Networking and communications equipment provider Adtran, Inc. (ADTN) reported late Tuesday a profit for the fourth quarter that soared from last year, reflecting double-digit revenue growth. Both adjusted earnings per share and quarterly revenues came in above analysts' expectations.

"We had a solid quarter with revenue coming in at 14% over the same period last year. Growth was driven by our core product areas, Broadband Access, Internetworking and Optical, which were up 25%. Strong performances in EMEA and Latin America helped drive our international revenue up 78%," CEO Tom Stanton said in a statement.

Huntsville, Alabama-based Adtran reported net income of $11.84 million or $0.20 per share for the fourth quarter, higher than $3.96 million or $0.06 per share in the prior-year quarter.

Excluding items, adjusted earnings for the quarter was $0.25 per share, compared to last year's $0.11 per share. On average, ten analysts polled by Thomson Reuters expected the company to report earnings of $0.14 per share for the quarter. Analysts' estimates typically exclude special items.

Total sales for the quarter grew 14 percent to $159.09 million from $139.76 million in the same quarter last year, and topped eleven Wall Street analysts' consensus estimate of $159.01 million by a whisker.

Operating income for the quarter soared to $10.64 million from $2.87 million in the prior-year quarter, and gross profit was $75.85 million, up from $67.38 million last year.

Adtran also said its board declared a cash dividend of $0.09 per share for the fourth quarter, payable on February 20 to holders on record at the close of business on February 6, 2014.

For fiscal 2013, the company reported net income of $45.79 million or $0.77 per share, compared to $47.26 million or $0.74 per share in the prior year. Adjusted earnings for the year was $0.95 per share, compared to last year's $0.94 per share. Sales for the full year grew to $641.74 million from $620.61 million last year.

Street was looking for full-year 2013 earnings of $0.70 per share on annual revenues of $641.74 million.

"Our strategy towards geographic diversification continued to pay benefits during the quarter and we believe we are well positioned for the future as our customers leverage technology advancements to improve their competitive position," Stanton added.

ADTN closed Tuesday's regular trading session at $26.07, up $1.23 or 4.95% on a volume of 1.41 million shares.