Acme Packet 3Q07 Update
Added 30 new service provider customers during the quarter. Acme Packet is now deployed at 450 service provider customers worldwide. That includes 79 (up from 76 end of 2Q07) of the top 100 largest tier ones in the world. Deployed in 85 countries now.
Revenues $29.6 million, increase of 9% sequentially. Net income $5.5 million. 81% gross margins. $127.8 million cash balance as of 3Q07. Raising business outlook for 2007. Revenue forecast for 2007 now $112 million to $113 million. Q4 revenues expected to be between $30.5 to 32m.
Increase in 3Q07 revenues due to higher sales in Europe and increased indirect sales channels. Indirect sales accounted for 64% of the revenue reflecting Acme Packet’s growing strength in Europe. Customers accounting for 10% revenues or more: Nokia Siemens Networks, Alcatel-Lucent, and Ericsson. These three generated 46% of 3Q07 revenues. 40% of revenues came from North America, 60% international. The company sees softness in North American market.
Around $4m R&D expenses during the quarter. Headcount of 323 compared to 303 at end 2Q07 and 240 at end 3Q06.
European customers inlcude AR Telecom in Portugal, Broadnet in Germany, Eirecom in Ireland, Netia in Poland, Edutel in Netherlands, Lannet in Greece. Acme Packet deployed in a total of 30 European countries.
Product enhancements during the quarter included partnership that creates solution for cable operators, enterprise and contact center product enhancements including intrusion detection and SPIT protection. Announced one contact center and 2 enterprise customers during the quarter.
