Aruba Networks fourth-quarter revenue rises, shares up
(Reuters) - Aruba Networks Inc's (ARUN.O) quarterly revenue rose as demand for its wireless network equipment remained solid even as telecom carriers cut down on spending, sending its shares up 18 percent in extended trade.
A faltering U.S. recovery and weakness in Europe has hit network equipment makers as their biggest customers — telecom service providers — cut spending and delay purchase of new equipment.
Aruba reported a loss of $3.0 million, or 3 cents per share, compared with a profit of $68.2 million, or 57 cents per share, a year earlier.
Excluding items, the company earned 18 cents per share.
Fourth-quarter revenue rose 22 percent to $139.2 million.
Analysts on average expected the company to earn 17 cents per share on revenue of $136.8 million, according to Thomson Reuters I/B/E/S.
Shares of the Sunnyvale, California-based company, which competes with Qualcomm Inc (QCOM.O) and Riverbed Technology Inc (RVBD.O), were up at $19.89 in extended trade. They closed at $16.92 on Thursday on the Nasdaq.
(Reporting by Shubham Singhal in Bangalore; Editing by Saumyadeb Chakrabarty)