Allot Communications Ltd. (ALLT) reported loss from continuing operations of 4 cents per share, compared to the Zacks Consensus Estimate of a loss of 11 cents per share. This excludes the impairment of auction rate securities from the GAAP operating loss.
Total revenues for the third quarter of 2009 reached $10.8 million, a 10% increase from the $9.8 million of revenues reported in the third quarter of 2008 and an 8% increase from the $10.0 million of revenues reported in the second quarter of 2009.
Allot's growth continues to be driven primarily from its leadership position in the mobile market. Since the time the company initially announced the frame agreement with a Tier 1 mobile operator group, it has received an additional $7.6 million in orders, bringing total orders from this customer to approximately $12.6 million to date. Ability to provide a solution that enables mobile operators to meet the rapidly increasing demand for data services, coupled with its expertise in implementing complex, large scale projects have been key factors for Allot's success in this market.
During the quarter, the company received initial orders for its new Sigma and AC-5000 products and concluded 11 large deals with service providers, of which 2 represented new customers and 9 represented expansion deals. The AC-5000 provides an optimal solution for bandwidth maximization and managed services for both large enterprise and small service providers.
Cash, cash equivalents, deposits and investments in marketable securities totaled $52.8 million. Shareowners’ equity was $60 million with no long-term debt.
Allot Communications Ltd. provides Internet protocol service optimization solutions for DSL, wireless and mobile broadband carriers, cable operator service providers, and enterprises in Europe, the Middle East, Africa, the Americas, Asia, and Oceania. The company, utilizing its deep packet inspection (DPI) technology, transforms broadband pipes into smart networks that create the visibility, security, application control, and subscriber management to manage Internet service delivery and guarantee quality of experience (QoE). Major competitors are Blue Coat Systems Inc. (BCSI) and Cisco Systems Inc. (CSCO).
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