Aruba Networks predicts 1st-qtr profit of 3 cents per share on record deferred revenues

Aruba predicts 1Q profit of 3 cents per share

SUNNYVALE, Calif. — Wireless networking technology maker Aruba Networks Inc. said Thursday it expects first-quarter adjusted earnings per share of 3 cents and revenue of $54 million to $56 million.

The earnings outlook for the three months through October was in line with analyst forecasts, but its revenue prediction was at the high end of expectations.

Shares rose $1.01, or 12.4 percent, to $9.15 in after-hours trading. They ended the regular trading day down 4 cents at $8.14.

The company said earlier it posted a narrower loss in the fourth quarter than a year earlier as its revenue grew past analyst forecasts. It lost $4.5 million, or 5 cents per share, in the three months that ended July 31, compared with $6.8 million, or 8 cents per share, a year earlier.

Revenue rose 11 percent to $53.3 million for the quarter.

Adjusted for non-cash stock-based expenses and amortization of intangible assets, Aruba’s adjusted net income was $3.2 million, or 3 cents per share.

Analysts surveyed by Thomson Reuters expected fourth-quarter adjusted earnings of 2 cents per share, and revenue of $49 million.

“We are aware that global economic conditions continue to impact our business,” Chief Financial Officer Steffan Tomlinson told analysts. “At the same time we had a record fourth quarter, bookings were very strong and our deferred revenues are at record levels.”