BEDFORD, Mass. (AP) — Phone and data network equipment maker Acme Packet Inc. said Thursday that its net income for the final quarter of 2011 fell as revenue growth failed to keep pace with higher sales and research costs.
The results came in below Wall Street’s forecasts and Acme Packet’s shares dropped 12 percent in extended trading on the news.
Net income in the three months to Dec. 31 fell to $8.7 million, or 12 cents per share, from $14.5 million, or 21 cents per share, a year ago.
Excluding share-based compensation costs and the amortization of intangible assets, earnings came to 26 cents per share, below the 28 cents expected by analysts polled by FactSet.
Revenue rose 18 percent to $83 million from $70.2 million. That was also below the $85.4 million expected by analysts.
Shares tumbled $3.79 to $27.10 in after-hours trading following the release of results. Earlier, shares had risen $1.77, or 6.1 percent, to close at $30.89 in the regular session.