FalconStor Software rises, swings to Q3 profit
Shares of FalconStor Software, Inc. (Nasdaq: FALC) are higher on news after the close on Thursday that the maker of network storage software swung to a third-quarter profit.
Net income for the quarter ended Sept. 30 more than quadrupled to $6.3 million, or $0.12 per share, compared with a net loss of $1.3 million, or $0.03 per share, during the same three months of 2006. That result beats the consensus estimate of earnings of $0.06 per share, according to a poll of three analysts by Thomson Financial.
Revenues for the period increased 43% to $18.5 million, from $13 million a year earlier. Wall Street was calling for the Melville, N.Y.-based company to book revenues of $17.99 million.
“We are pleased with the consistent expansions of our product portfolio, strategic partners, sales channel and operating margins,” said chairman and CEO ReiJane Huai in a statement.
At 11:37 p.m. ET, shares of FalconStor Software, Inc. (FALC) were up $0.90, or 7%, to $13.24. That’s near the 52-week high of $14.35, which was reached on Oct. 8. The 52-week low of $7.11 was set on Nov. 13.
