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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Limelight Rallies on Strong Report, Outlook

NEW YORK (TheStreet) -- Shares of Limelight Networks (LLNW) rose in after-hours action after the Tempe, Ariz.-based content delivery technology company posted strong results for the fourth quarter and gave a favorable top-line outlook for 2011.

The company, whose software applications such as LimeLight Deliver and LimeLight Reach enable streaming of content and advertising, reported a non-GAAP profit of $1.5 million, or a penny per share, on revenue of $55.2 million for the three months ended Dec. 31. The non-GAAP results exclude share-based compensation and acquisition-related expenses, among other items.



The average estimate of analysts polled by Thomson Reuters called for a breakeven quarter on a per share basis with revenue of $53. 3 million.

The stock was last quoted at $7.06, up 9.3%, on volume of more than 1.04 million, according to Nasdaq.com. Based on a regular session close of $6.46, the shares were already up almost 70% in the past year; although they had pulled back nearly 30% since hitting a 52-week high of $8.97 on Nov. 9.

For the current quarter, Limelight sees revenue of $48 million to $49.5 million. Wall Street's current consensus estimate is a loss of a penny per share in the March period on revenue of $48.2 million.

The company forecast revenue growth of 15% to 20% for fiscal 2011 from its total of $183.3 million in 2010. That view implies a range of $210.8 million to $220 million vs. the analysts average of $212.9 million, according to Thomson Reuters. The stock got walloped last week in sympathy with competitor Akamai Technologies (AKAM) after that company gave a lukewarm outlook for the start of 2011.

Limelight said its cloud-based and consulting services continued to grow in the latest quarter, where they represented 36% of total revenue. Revenue from its mobile business jumped 200% year-over-year, while site and application acceleration services grew 150% and online video platform growth came in at 110%.

"Limelight Networks' content delivery and cloud-based services have become embedded into the fabric of the Internet, which has, through computers, tablets, smartphones and Internet-connected televisions, become embedded into the fabric of our lives," said Jeff Lunsford, the company's chairman and CEO, in a statement. "We believe that our globally distributed, high-performance computing platform, and the solutions that run on it, are unique within the technology industry, positioning us well for continued growth and market share gains in 2011."

1 of 2

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,098.45 +18.88 0.11%
S&P 500 2,003.37 +6.63 0.33%
NASDAQ 4,580.2710 +22.5760 0.50%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs