RPT-UPDATE 2-Nuance profit beats Street, sees Q4 rev below view
(Repeats Aug. 10 story without any changes to text)
* Q3 adj EPS $0.26 vs est $0.25
* Q3 rev up 11 pct to $241 mln
* Q4 rev view below estimates
* Lowers FY'09 rev outlook
* Shares down 3 pct afer the bell (Recasts; adds outlook, updates share movement)
Aug 10 (Reuters) - Speech recognition technology supplier Nuance Communications Inc (NUAN.O) posted third-quarter earnings that edged past analysts' expectations as it added a number of new customers to its hosted transcription services.
The company, however, guided lower revenue for the fourth quarter, saying it was adopting a "cautious view" given the macro-economic environment.
Shares of the company fell 3 percent after the bell to $13.75. They closed at $14.22 Monday on Nasdaq.
The company expects revenue of $259 million to $269 million in the fourth quarter, while analysts are projecting revenue of $277.1 million. [ID:nWNBB3180]
The company said it expects royalty revenue from its mobile-segment to remain depressed, given reduced shipments of cars, navigation devices and phones.
Price pressures in this market remain especially strong during this time of economic stress upon our original equipment manufacturers (OEM) partners, the company noted.
For the third quarter, the company's net loss fell to $1 million, or breakeven a share, from $9.9 million, or 5 cents a share, a year earlier.
Excluding items, its earnings were 26 cents per share that came above analysts' estimates by a penny.
The company said its focus on cost controls helped its adjusted gross margins, which rose to 32.6 percent from 27.5 percent a year earlier.
"Our attention to expense controls and our growth in hosted revenue establish the foundation for continued performance improvements as we complete the fiscal year," Chief Executive Paul Ricci said in a statement.
Revenue rose 11 percent to $241 million, while the consensus estimate was $249.35 million
Adjusted revenue for Nuance's healthcare and dictation solutions was up 27 percent to $108.1 million.
For alerts, please double click [ID:nWNBB3087] (Reporting by Mansi Dutta in Bangalore; Editing by Anil D'Silva)
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