Adtran reports 47 pct rise in 2nd-Qtr profit as demand for networking equipment improves

Adtran reports 47 percent jump in 2Q profit

HUNTSVILLE, Ala. — Adtran Inc. said Wednesday its second-quarter profit rose 47 percent as sales of its networking equipment imrpoved and demand increased for its high speed connectivity and ethernet services.

The results easily beat expectations and Adtran shares rose to a 52-week high in morning trading Wednesday.

The company said its net income rose to $27.8 million, or 44 cents per share, in the three-month period ending June 30 from $18.8 million, or 30 cents a share, a year ago.

Revenue climbed 23.7 percent to $150.4 million from $121.5 million a year ago.

Analysts polled by Thomson Reuters expected 35 cents per share on revenue of $137.9 million.

Adtran also declared a quarterly cash dividend of 9 cents per share, payable Aug. 12.

The company’s shares rose $1.77, or 6.1 percent, to $30.63 in morning trading after rising to a 52-week high of $31.19 earlier in the session. Its shares have traded as low as $20.34 over the past year.