Adtran Q4 Results Top Estimates, Declares Dividend

(RTTNews) - Networking and communications equipment provider Adtran, Inc. (ADTN) reported Tuesday a profit for the fourth quarter that declined from last year, reflecting a decline in sales. Both adjusted earnings per share and quarterly revenues topped analysts' expectations. The company also announced a cash dividend for the fourth quarter.

"Our Company had a solid performance this quarter with most segments meeting or slightly exceeding our expectations. We continue to see positive trends as we enter 2015 and believe our geographic presence, market share gains and new product introductions position us well for the future," CEO Tom Stanton said in a statement.

The Huntsville, Alabama-based company reported net income of $9.29 million or $0.17 per share for the fourth quarter, down from $11.84 million or $0.20 per share in the year-ago quarter.

Excluding items, adjusted earnings for the quarter was $0.19 per share, compared to the prior-year quarter's $0.25 per share.

On average, eight analysts polled by Thomson Reuters expected the company to report earnings of $0.07 per share for the quarter. Analysts' estimates typically exclude special items.

Total sales for the quarter decreased to $143.98 million from $159.09 million in the same quarter last year, but topped nine Wall Street analysts' consensus estimate of $141.62 million by a whisker.

Operating income for the quarter plunged to $3.78 million from $10.64 million in the prior-year quarter, and gross profit was $68.48 million, down from $76.86 million in the year-ago quarter.

Selling, general and administrative expenses decreased to $31.79 million from $33.28 million in the same quarter last year. Research and development expenses totaled $32.71 million, edging down $32.94 million in the year-ago quarter.

Further, the company said that its board declared a cash dividend for the fourth quarter of $0.09 per share, payable on February 19 to holders on record at the close of business on February 5, 2015.

ADTN closed Tuesday's regular trading session at $23.05, up $0.49 or 2.17% on a volume of 1.91 million shares.