Boston, MA 06/09/2014 (wallstreetpr) – Designer, developer and manufacturer of devices for advanced communications, Comtech Telecomm. Corp. (NASDAQ:CMTL) announced an upbeat outlook for the fiscal year 2014 boosting its earlier earnings guidance to well above market expectations. The company also delivered strong numbers for the third quarter beating the Street analysts’ estimations by miles. As a result, shares of the company have become the most sought after one allowing to reach yearly high.
Outlook
Comtech Telecomm. Corp. (NASDAQ:CMTL) has lifted its earnings guidance for the fiscal year 2014 to a range of $1.25 – $1.30 a share from $1.14 – $1.26 a share projected earlier. The revised mid-point of earnings forecast is higher by 5 cents than analysts’ predictions of $1.25 a share.
Its president and CEO Fred Kornberg exuded confidence when he said that its business has firmed up and that its outlook for the current fiscal year has improved. As far as the next fiscal year is concerned, he sees many opportunities for growth and is more optimistic now about another year of uptick on the top line as well as the bottom line.
3Q Results
Comtech Telecomm. Corp. (NASDAQ:CMTL) earned a profit of $5.9 million or 32 cents a share, up from $2.9 million or 17 cents a share in the year earlier quarter. Street analysts expected the company to earn 18 cents a share. In the previous three quarters too, its earnings topped estimations by over 20% consistently.
Net sales advanced 27.2% to $88.9 million from $69.9 million in the previous year quarter. This has also exceeded analysts’ predictions of $77.5 million. The company attributed the top line growth to increased sales of its telecommunications transmission apart from RF microwave amplifiers divisions, partly offset by weak sales from its mobile data communications division.
Comtech Telecomm. Corp. (NASDAQ:CMTL) backlog slipped to $160.7 million at the end of the third quarter from $168.0 million in the second quarter. However, its total bookings rose to $81.6 million from $73.6 million in the year earlier period.
