Juniper Networks was tagged with an 88 percent drop in net income in the second quarter on earnings of $14.8 million.

The Sunnyvale, Calif.-based company’s second-quarter net income included $7.5 million in restructuring charges, along with an income tax charge of $52.2 million that was due to a court ruling on stock-based compensation.

Net revenues for the second quarter of this year increased 3 percent to $786.4 million from the $764.2 million reported in the first quarter of 2009, but declined 11 percent on a year-over-year basis.

Juniper generated net cash from operations for the second quarter of 2009 of $148.7 million, compared with net cash provided by operations of $163.9 million in the first quarter.

"We continue to take a disciplined approach to controlling operating expenses as we navigate this challenging economic period," said Kevin Johnson, Juniper's CEO. "With service provider sales relatively flat quarter-over-quarter, our sequential revenue increase was supported by double-digit quarter-over-quarter growth in the enterprise market. A solid product portfolio, compelling value proposition, and improved sales and marketing execution are enabling us to expand and diversify our customer base."