Riverbed Misses 2Q Views; Offers Outlook Above Consensus

Riverbed Technology

missed recently revised second-quarter expectations by a small margin but offered an outlook above the consensus. The company issued a profit warning on July 10. Adjusted income rose to $42.6 million, or $0.26 a share, from $36.6 million, or $0.22 a share a year earlier. Revenue grew 6 percent to $264 million from $250 million last year. Wall Street expected adjusted profits of $0.27 cents a share on revenue of $270.6 million. On a net basis the company swung to a profit of million, or $0.04 a share, from a net loss of $16.5 million, or ($0.10) a share last year. Riverbed expects third-quarter adjusted earnings of 0.30 to $0.32 a share, on adjusted revenue of $285 to $291 million. Chief Executive Jerry M. Kennelly said growth will accelerate in the second half of the year as the company gains traction with efforts to extend beyond its "core WAN optimization business." In after hours trading, shares recently rose two percent to $18.30.