Earnings Roundup: Level 3, Internap, Limelight, AboveNet
Here’s a roundup of quarterly financial results announcements:
Level 3 reports 1st quarter results. Level 3 Communications (LVLT) reported consolidated revenue of $910 million for the first quarter of 2010, with a net loss of $238 million, or $0.14 per share. Communications revenue accounted for $900 million of the overall $910 million revenue. “Our Core Network Services sales orders were up by more than 15 percent in the first quarter compared to the fourth quarter. We believe that churn will continue to show improvement for the rest of the year.” said Sunit Patel, executive vice president and CFO of Level 3. See Telecom Ramblings for additional analysis.
Internap Sees Progress in Colo Shift: Internap (INAP) reported its first quarter results yesterday. Revenue of $63.4 million was reported with data center services growing 6 percent year-over-year and 2 percent sequentially to $33.7 million. “In data center services, we continued to make progress shifting our investment and operational focus to higher margin company-controlled facilities which simplifies our business and increases value to our stockholders,”said Eric Cooney, President and CEO of Internap. “And while it’s still early, our initiatives to revitalize Internap’s core IP services also appear to be yielding results.” Highlights of the quarter included the launch of XIP, a new service-based Internet traffic accelerator and the data center expansions in Seattle, Houston and Silicon Valley. Seeking Alpha has a transcript of the Internap earnings call.
Limelight Reports Results, Patent Suit Win. Limelight Networks (LLNW) reported first quarter 2010 financial results. Reported revenue was $36 million and $149 million in cash and short term marketable securities. Highlighting the recently closed acquisition of EyeWonder, chairman and CEO of Limelight Jeff Lunsford said Now together with EyeWonder, Limelight Networks is well-positioned to grow as content consumption, marketing dollars and e-commerce activity continue to shift online and onto mobile devices, and as more enterprises look to outsource computing and storage resources to innovative service providers.” With two months of contribution from EyeWonder Limelight is forecasting the second quarter of 2010 revenue to be in the range of $41 million to $43 million. On Wednesday The U.S. Court of Appeals for the Federal Circuit affirmed a lower court decision finding that Limelight does not infringe Level 3 patents.
AboveNet reports 1st quarter results. AboveNet (ABVT) reported first quarter 2010 financial results. Revenue for the first quarter was $97.2 million, a 13.8 percent increase from the first quarter of 2009. Operating income for the first quarter was $25 million and net income was $13.6 million. “Improving economic conditions have allowed customers with pent-up bandwidth demand to resume buying activity. As customer demand for high-bandwidth connectivity continues to recover, AboveNet is well positioned to benefit with its world-class, high-speed, low-latency, scalable network solutions,” said CEO Bill LaPerch.