* Q4 EPS C$0.10 vs est C$0.06
* Q4 rev C$20.7 mln vs est C$17.5 mln
* Sees 2010 revenue C$82 mln-C$92 mln vs est C$81.7 mln
* Sees 2010 net income C$13 mln-C$16 mln
* Looking at 3G, 4G, LTE for growth
* Shares up as much as 5 pct (Recasts, adds conference call
details, analyst comment, updates share movement)
By Ashutosh Joshi
BANGALORE, Feb 26 Canadian telecoms software
firm Bridgewater Systems Corp BWC.TO posted a
better-than-expected rise in quarterly results and forecast a
strong 2010 on rising demand for its products, sending its
share up 5 percent.
Bridgewater, which sells products to ease networks
congestion, is looking at 3G and 4G to boost results and is
also foraying into newer technologies like long-term evolution
Bridgewater expects revenue in 2010 to rise about 23
percent to 38 percent -- better than market forecasts --
despite the expiry of a contract with Alcatel Lucent ALUA.PA
"They have been very conservative with their guidance
normally, so I would think they will be able to achieve those
results," Toll Cross Securities analyst Manish Grigo told
Fourth quarter net income rose to C$2.5 million, or 10
Canadian cents a share, from C$1.7 million, or 7 Canadian cents
a share, a year ago. [ID:nWNAB2613]
The company added about nine customers in the quarter
including a deal with MetroPCS Communications PCS.N to supply
components for the low-cost wireless carrier's
fourth-generation (4G) network. It added four customers in the
Asia Pacific region, an area they been looking to expand in.
"Looking ahead, we expect revenue contribution from 3G and
4G networks to grow over time, as we expand out positions with
these customers," Chief Financial Officer Kim Butler said on a
Bridgewater, along with few network equipment vendors, has
signed up for five trials of its long-term evolution (LTE)
technology in 2010, Chief Executive Ed Ogonek said on the call.
Mobile telecoms operators are set to invest billions in the
LTE networks as data traffic in their current networks has
exploded due to the use of mobile data cards and smartphones.
The situation is also set to spark demand not only for
Bridgewater, but also for U.S.-based Tellabs TLAB.O.
Bridgewater shares, which have gained about 164 percent in
the past year, were up about 3 percent at C$9.50 in Friday
afternoon on the Toronto Stock Exchange.
(Reporting by Ashutosh Joshi in Bangalore; Editing by Savio
D'Souza and Anne Pallivathuckal)