Thu Oct 7, 2010 7:27am EDT
* Q3 EPS C
.02 vs loss/shr C
.03 yr ago
* Rev up 52 pct
* Says growth strong in EMEA and Asia Pacific
Oct 7 (Reuters) - Canadian network equipment maker Sandvine Corp (SVC.TO) on Thursday posted a third-quarter profit, helped by growth at its digital subscriber line and mobile access markets. For the June-August quarter, net income was C$2.2 million, or 2 Canadian cents a share, compared with a net loss of C$4.4 million, or 3 Canadian cents a share, a year ago. Excluding items, it earned 2 Canadian cents a share.
Revenue rose 52 percent to C$24.4 million, with about half the revenue coming from DSL access market and the mobile access market accounting for about 30 percent.
Analysts on average were expecting the company to breakeven on a revenue of C$22.2 million, according to Thomson Reuters I/B/E/S.
The company said more than 60 percent of total revenue came from outside North America, with growth being strong in EMEA and Asia Pacific.
Waterloo, Ontario-based Sandvine, which has over 200 service provider customers in over 80 countries, said it added six new customers in the quarter.
The products of the company, which help broadband and telecom operators manage data traffic, combine hardware and software to identify and monitor specific types of traffic across networks.
With growing network congestion, Canadian mobile software companies such as Sandvine, Bridgewater Systems Corp (BWC.TO) and Redknee Solutions Inc (RKN.TO) are being seen as potential acquisition targets by network gearmakers. [ID:nSGE66I0J6]
Sandvine shares, which have gained nearly 50 percent of their value year to date, closed at C$1.92 Wednesday on the Toronto Stock Exchange. (Reporting by Bhaswati Mukhopadhyay in Bangalore)