Sunday, July 31, 2011

Extreme Networks Posts Revenue of $89.8 Million

Extreme Networks reported quarterly net revenue of $89.8 million, as compared to $85.5 million for the same period last year. Quarterly net product revenue was $73.8 million, up 4% YoY, and service revenue was $16.0 million, down 8% YoY. Estimated net loss on a GAAP basis for the quarter was $2.1 million or a loss of $0.02* per diluted share, including the impact of a $2.8 million charge for a previously announced restructuring, net of reversals, and $1.5 million in stock-based compensation.

For the quarter, total net revenue in North America was $40.0 million, revenue in EMEA was $34.9 million, and revenue in APAC was $14.9 million. That compares to year-ago revenue in North America of $36.3 million, revenue in EMEA of $36.8 million, and revenue in APAC of $12.4 million.

"We are pleased with our ability to achieve 10% product revenue growth for fiscal year 2011, and the progress we have made transforming the Company in the areas of sales and marketing focus and product realignment," said Oscar Rodriguez, President & CEO of Extreme Networks. "These changes, along with the recently announced restructuring to reduce our overall cost structure, lay the foundation for continued improvements in fiscal 2012. In FY12, the Company will focus on improving its operating income, and is expecting to significantly improve EPS over FY11. I believe Extreme Networks is positioned well to compete in the marketplace with our new products, marketing campaigns, and cost structure. The Company is focused on executing the new vertical market strategy to offer differentiated solutions to our customers, and improved returns to our investors."

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