ADC( ADCT) blew past third-quarter targets and raised full-year guidance.
But its shares failed to gain traction in postclose trading, as investors in the networking sector continued to lick their wounds over
21% decline during regular trading.
ADC, a Minneapolis-based telecom gearmaker, posted a profit of $17 million, or 14 cents a share, for the quarter ended Aug. 3. Those numbers compare with a profit of $93 million, or 73 cents a share, in the prior quarter and a profit of $23 million, or 20 cents a share, last year.
On an adjusted basis, excluding charges like excess inventory and restructuring, ADC posted a profit of 37 cents a share. Sales were $346 million, against $349 million in the prior quarter and $343.6 million in the year-ago period.
Analysts were looking for a profit of 23 cents a share on $328 million in sales, according to Reuters Research.
"We continued to outperform expectations in 2007 with strong third quarter results," CEO Bob Switz said in a press release. Switz added, though, that "several key customers have not yet returned to normal spending following their mergers."
Looking ahead, ADC expects to book a full-year adjusted profit of $1.09 a share on about $1.31 billion in sales. Consensus estimates called for a pro forma profit of 93 cents on $1.29 billion in revenue in fiscal 2007.
ADC shares were down 4 cents to $18.52 in postclose trading Wednesday.