Sonus Networks Swings to Profit

The first quarter beats targets.
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Sonus Networks


swung to a first-quarter profit Monday as revenue nearly doubled.

The Chelmsford, Mass., networking-gear shop made $5.7 million, or 2 cents a share, for the quarter ended March 31, reversing the year-ago loss of $3.7 million, or a penny a share. Revenue rose to $60 million from $33.6 million a year earlier.

Excluding stock-based compensation expense, latest-quarter earnings were 3 cents a share, tripling the Thomson Financial forecast. Analysts were looking for revenue of $54 million.

The latest quarter's revenue benefited to the tune of $3 million from the length of the company's relationship with



. Because Sonus has sold through the Schaumburg, Ill., tech titan for two years, Sonus is now reporting this revenue on a so-called sell-in basis, where revenue is recognized upon the shipment of products to Motorola.

Late Monday, Sonus fell 9 cents to $5.05.