April 2, 2013 / 9:21 PM / 4 years ago

MagicJack sees strong current quarter; shares up

(Reuters) - MagicJack Vocaltec Ltd (CALL.O) reported a fourth-quarter profit on strong sales of its devices to make and receive calls over the Internet, and said current-quarter adjusted profit will be higher compared to a year earlier.

The company’s shares surged as much as 14 percent to $17 in extended trading, after closing at $14.95 on the Nasdaq.

“There was a large pickup from large sales of magicJack plus. The renewals also went up in December 2012 and January 2013,” company officials said on a conference call.

Revenue from MagicJack’s namesake devices, which allow phones to make calls using the Internet, rose 88 percent in the fourth quarter to $19.1 million. Total revenue increased 56 percent to $41.4 million.

The company recorded a net profit of $22.3 million, or $1.17 per share, in the quarter ended December 31, compared with a loss of $4.7 million, or 26 cents per share, a year earlier. Excluding one-time items, the company earned 91 cents per share.

MagicJack devices use a computer’s USB port to connect phones to the Internet and make or receive calls. The company’s new magicJack Plus models can be plugged directly into a router and don’t need a computer.

Reporting By Aditya Kondalamahanty in Bangalore,; Editing by Joyjeet Das, Sreejiraj Eluvangal

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below