Earnings: Cisco, CBeyond, Limelight

Lots of earnings reports today, more coming tomorrow.  Here are quick snapshots of companies in three very different sectors of the telecom and internet infrastructure space: Cisco, CBeyond, and Limelight.

csco made all the pundits happy by beating expectations handily.  Revenues of $9.0B and adjusted earnings per share of $0.36 were very strong, as were the company’s comments about the improving economic conditions.  The company also announced a $10B extension to their stock buyback program, despite using its cash stockpile to buy a company every week or two.  A very muscular quarter by Cisco, apparently the equipment sector really has turned the corner.

cbey had a relatively quiet quarter.  Revenues of $106.0M, EBITDA of $15.3M and a loss per share of $0.03 were perhaps slightly beneath expectations, but entirely within the reasonable range.  The company continues to spend money on new market expansions, else their EBITDA would have been closer to $20M this quarter.  The company reduced revenue guidance for the full year to $415M from $420M, and kept EBITDA and Capex guidance as is.   In CLEC land, life is not horrible but the recession hasn’t really left the building yet.

llnw managed to follow Akamai’s lead and returned to growth in the third quarter after two consecutive quarterly revenue declines, but only just.  Revenues of $32.5M were apparently bit lighter than the market was hoping for, as was fourth quarter guidance.  EBITDA of $5.8M and an adjusted loss per share of $0.01 were not bad, but overall the main problem was simply that there was nothing to get excited about and the market will have to wait a bit.  Limelight has had a good year on many fronts – legal wins, high profile customers, etc – but they haven’t yet seen a real benefit in their reported numbers.

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Categories: CLEC · Content Distribution · Financials · Telecom Equipment