Inktomi (INKT) reported better-than-expected results for its fourth quarter ended Sept. 30, but the stock took a hit in after-hours trading nonetheless.
Pro forma net income for the quarter, excluding amortization of goodwill, employee stock compensation and a one-time charge for purchased in-process research and development, amounted to $8.8 million, or 7 cents per share, compared to a loss of 6 cents per share in the fourth quarter of fiscal 1999. Analysts surveyed by
First Call/Thomson Financial
had expected that the Internet infrastructure software firm would show a nickel-per-share profit.
Revenues for Inktomi's Network Products business,
the biggest and fastest-growing revenue source for the company, amounted to $56.1 million for the quarter, up 243% from a year earlier. Total revenue for the quarter rose 190% from a year ago, to $78.6 million.
In line with previous disclosures from Inktomi, the company said that its soon-to-close acquisition of live-event streaming media company
will subtract from earnings at the outset of fiscal year 2001, but add to them as the year progresses. The company estimates it will have revenue of $89 million to $91 million in the first fiscal quarter ending Dec. 31, and 2 to 3 cents of pro forma earnings per share. Its full-year revenue forecast, in line with previous guidance, is $455 million to $465 million, with earnings per share of 27 to 31 cents.
Despite Inktomi's bullishness, its shares got whacked in after-hours trading, falling to $72 trading on
from a closing price of $83. Ahead of the earnings call, shares fell 83 cents during normal trading hours.