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Dycom Beats Estimates, Plans to Acquire Telecom Equipment Firm

Dycom Industries

(DY) - Get Dycom Industries Inc. Report

had plenty to say after the market closed today.

The company beat analysts' expectations for the first quarter, named a new chairman and disclosed plans to acquire a telecom equipment firm.

Dycom, which provides engineering, construction and maintenance services to telecommunication providers, reported net income of $21.6 million, or 51 cents a diluted share, on total contract revenue of $234.7 million in the first quarter. In the year-ago period, the company earned $14.5 million, or 35 cents a diluted share, on $177.5 million in revenue. Analysts polled by

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First Call/Thomson Financial

expected the company to earn 44 cents a share for the quarter.

The company also named President and Chief Executive Steven Nielsen to the additional post of chairman, succeeding Thomas Pledger, who retired.

Separately, Dycom said it will acquire

Point to Point Communications

for about $65 million in cash and common stock. Point to Point provides central office equipment, engineering, installation, testing and maintenance services for the optical networks of telecommunication providers.