This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Ikanos Swings to a Loss

Ikanos Communications (IKAN) swung to a loss in its fourth quarter, as broadband service providers delayed rolling out new services enabled by the company's chips.

The company posed a loss of $14.1 million, or 51 cents a share, in the three months ended Dec. 31, vs. a profit of $4 million, or 15 cents a share, at the same time a year ago.

Excluding certain items, Ikanos said its loss in the fourth quarter was $7.1 million, or 26 cents a share -- worse than the average analyst expectation of 20-cents-a-share net loss.

Sales decreased 21% year over year to $22.5 million, in line with analyst expectations.

"While delays in carriers' deployments and high equipment levels at carriers adversely affected our fourth quarter results, we do expect improvements in the first quarter of 2007," said CEO Daniel Alter in a statement.

Freemont, Calif.-based Ikanos develops chips for network infrastructure gear used to deliver services such as Internet-based television and phone calls.

"During the fourth quarter we implemented a restructuring plan to reduce overall expenses. We expect to see the benefits of this restructuring start in the first half of 2007," Alter continued.

Ikanos projected that sales in its current quarter would range between $24 million and $27 million. Analysts polled by Thomson Financial expect the company to have sales of $27.3 million, with a loss of 12 cents a share, in the current quarter.

Ikanos said its gross margin level in the first quarter, adjusted to exclude amortization and stock option expenses, should range between 39% and 42%.

Shares of Ikanos were up 2.9%, or 23 cents, at $8.20 in extended trading Monday.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
IKAN $2.74 0.00%
AAPL $93.64 0.00%
FB $118.57 0.00%
GOOG $698.21 0.00%
TSLA $241.80 0.00%


Chart of I:DJI
DOW 17,891.16 +117.52 0.66%
S&P 500 2,081.43 +16.13 0.78%
NASDAQ 4,817.5940 +42.2360 0.88%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs