Sonus Networks Inc. (NASDAQ: SONS) surged 23% this morning to $3.72, fueled by its fourth-quarter financial results reported after market close yesterday. The company reported an 11% increase in fourth-quarter net income on the back of higher revenue from products and services.
Sonus reported fourth-quarter net income of $11.4 million, up from $10.3 million reported for the same period in the previous year. On a per share basis, the company reported fourth-quarter earnings of $0.04, beating analysts’ estimate of $0.03 per share.
Sonus reported a 21% increase in fourth-quarter revenue to $83 million, beating analysts’ estimate of $68.6 million. The company’s product revenue increased 15% to $54.1 million, while its service revenue climbed 33% to $28.9 million.
For full year 2010, Sonus reported a net loss of $10.7 million, or $0.04 per share, compared with a net loss of $4.9 million, or $0.02 per share reported in 2009. The company’s full-year revenue increased 10% to $249.3 million.
For 2011, the company expects revenue to come in between $265 million and $285 million, which is above analysts’ estimate of $242.3 million.
Following the release of the fourth-quarter financial results, Sonus shares rose more than 25% in pre-market trading.
Sonus shares have a 52-week range of $2.12-$3.84. The stock is currently trading above its 50-day and 200-day moving averages. Sonus shares gained 41.95% year-to-date.
Westford, Massachusetts-based Sonus Networks provides voice, video and data infrastructure solutions for wireline and wireless telephone service providers. The company’s products include infrastructure equipment and software that allow voice services to be delivered over Internet protocol networks.
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