RALEIGH – Bandwidth Inc. (BAND) on Thursday reported a loss of $2.4 million in its third quarter but still beat analysts’ expectations, a performance that excited CEO David Morken to say the least.
On a per-share basis, the Raleigh, North Carolina-based company said it had a loss of 10 cents. Earnings, adjusted for amortization costs and stock option expense, were 24 cents per share.
The results beat Wall Street expectations. The average estimate of five analysts surveyed by Zacks Investment Research was for a loss of 2 cents per share.
“We delivered our strongest quarter ever and are raising our annual revenue outlook. The strength in our business is fueled by our relentless focus on customer success and highlighted by our robust dollar-based net retention. Our value proposition is strong and our commitment to our mission and customers will now expand across the globe,” Morken said in a statement.
“Looking ahead, I couldn’t be more excited about our opportunities as we unite Bandwidth’s deep U.S. presence with Voxbone’s world-wide presence to create a global software platform, network and team unlike any other.”
The enterprise software developer posted revenue of $84.8 million in the period, also topping Street forecasts. Three analysts surveyed by Zacks expected $76.3 million.
For the current quarter ending in December, Bandwidth expects its per-share earnings to range from 3 cents to 5 cents.
The company said it expects revenue in the range of $96.5 million to $97 million for the fiscal fourth quarter.
Bandwidth expects full-year earnings in the range of 44 cents to 46 cents per share, with revenue ranging from $326.6 million to $327.1 million.
Bandwidth shares have more than doubled since the beginning of the year. In the final minutes of trading on Thursday, shares hit $168.63, nearly tripling in the last 12 months.
