Juniper Networks posted a $4.5 million net loss when it reported its first-quarter preliminary results yesterday, but the Sunnyvale, Calif.-based network equipment maker saw its shares tick upward this morning.
Juniper’s shares increased 12 percent this morning as Wall Street responded favorably to Juniper’s first-quarter results that met lowered expectations. Investors were also encouraged by Juniper Networks CEO Kevin Johnson’s positive tone in yesterday’s earnings report.
“Juniper has responded well to the challenging macroeconomic environment,” Johnson said. “Our focus remains on balancing short-term market realities with our commitment to creating long-term shareholder value. We’re doing that by aggressively and thoughtfully managing operating expenses to ensure that we maintain strong levels of investment in our innovation and customer-focused initiatives.
“Our March quarter results indicate that we’re executing on this plan, as operating margin was better than expected and new product introductions in our EX, SRX and TX lines are gaining good traction with customers.”
Revenue for the quarter that ended March 31 dropped 7 percent year-over-year to $764.2 million, from $822.9 million. Contributing to the loss was a change in California tax laws that resulted in a one-time charge of $61.8 million in the first quarter.
Juniper lost 1 cent per share, compared with a net income of $110.4 million, or 20 cents per share, in the same quarter a year ago.
Juniper’s adjusted net income was $91.6 million, or 16 cents per share.