Redback Networks Exceeds Lowered Consensus Forecast

Redback Networks(RBAK Quote) slightly topped analysts' dramatically lowered bottom line estimates for the first quarter, but revenue still registered a significant increase compared with the year-ago period.

The San Jose, Calif., networking concern lost $18.4 million, or 13 cents a share, in the period. Fifteen analysts polled by Thomson Financial/First Call were expecting Redback to lose 15 cents a share in the period. Wall Street had been expecting the company to post earnings of 4 cents a share, before Redback warned earlier this month that it expected to post a loss of 15 cents. The company earned a penny in the year-ago period.

At the time of the profit warning, the company also said that revenue should total $85 million to $90 million, well below the consensus estimate of $132.4 million. Today, the company said revenue totaled $90.9 million in the quarter, up sharply from $34.2 million in the same period last year.

Shares of Redback lost 10 cents, or 0.6%, to $15.84 in regular-session Nasdaq trading, but bounced back in after-hours Island activity, rising to $16.25.