Data centers

10:30 PM
Connect Directly
RSS
E-Mail
50%
50%

Inrange Misses by a Penny

Increases its focus on the storage networking market

As Inrange Technologies Corp. moves to exit the telecommunications business and focus on storage networking, the company today reported second-quarter earnings that were in range with analysts expectations, but missed the consensus by a penny.

The developer of networking and switching equipment had pro forma earnings of $3.1 million, or 4 cents a share, versus the consensus estimate of $4.2 million, or 5 cents a share. Revenues were $69 million.

Earnings slid 32 percent from the same quarter a year ago, when Inrange reported $4.5 million, or 6 cents a share. But revenues grew at a healthy 33 percent over last year’s $52 million. Accounting for much of the discrepancy was a slide in gross profit margins from 48 percent to 44 percent and a 58 percent rise in selling and administrative expenses.

Including the effects of restructuring, amortizing goodwill, and other charges related to exiting the telecommunications business, Inrange suffered a net loss of $5.4 million, or minus 6 cents a share, vs. $4.5 million earnings, or 6 cents a share, a year ago.

Company officials predict third-quarter earnings of 5 cents to 6 cents a share on $74 million to $75 million revenues with gross margins similar to the second quarter. For the year, they expect $300 million total revenues, including $125 million from open storage products and services.

Previous
1 of 2
Next
Comment  | 
Print  | 
More Insights
Slideshows
Cartoon
White Papers
Register for Network Computing Newsletters
Current Issue
Research: 2014 State of the Data Center
Research: 2014 State of the Data Center
Our latest survey shows growing demand, fixed budgets, and good reason why resellers and vendors must fight to remain relevant. One thing's for sure: The data center is poised for a wild ride, and no one wants to be left behind.
Video
Twitter Feed