Harmonic Blows Out Estimates

Pro forma earnings are 4 cents better than Wall Street forecasts.

Author:: TSC Staff
Publish date:: Jan 21, 2005 8:57 AM EST

Updated from Jan. 20

Digital delivery outfit

Harmonic

(HLIT) - Get Report

said fourth-quarter earnings expanded roughly eight-fold from last year, blowing away analyst estimates.

The stock surged $1, or 10.3%, to $10.75 Friday morning.

The Sunnyvale, Calif., tech shop earned $10.2 million, or 14 cents a share, in the three months to Dec. 31, up from earnings of $1.4 million, or 2 cents a share, last year. Revenue rose 55% from a year ago to $85.6 million.

The company cited strong sales for digital head-end systems for simulcasting in the quarter.

Excluding various items, the company earned $12.7 million, or 17 cents a share, in the latest quarter, compared with $1.2 million, or 2 cents a diluted share, a year ago. On that basis, analysts had been forecasting earnings of 13 cents a share on revenue of about $79 million.

The company expects pro forma earnings of 7 cents to 11 cents a share on revenue of $70 million to $75 million in the first quarter of 2005, both well above analyst forecasts.