Orckit Communications (Nasdaq: ORCT; TASE: ORCT) today reported results for the fourth quarter and year ended December 31, 2005.
Revenue in the fourth quarter of 2005 was $33.4 million compared to $8.6 million in the quarter ended December 31, 2004 and $25.4 million in the third quarter of 2005.
This exceeds analysts' consensus of $32.1 million revenue for the fourth quarter of 2005.
Net profit for the quarter ended December 31, 2005 was $7.6 million, or $0.45 per diluted share, compared to a net loss of $2.9 million for the quarter ended December 31, 2004 and net profit of $7.6 million, or $0.45 per diluted share, for the third quarter of 2005.
Results for the third quarter of 2005 included a capital gain of approximately $2.4 million, or $0.14 per diluted share, from the sale to Broadcom of the company's holdings in Siliquent Technologies.
Excluding this capital gain, net profit for the quarter ended September 30, 2005 was $5.2 million, or $0.30 per diluted share.
Net profit for 2005 was $22.2 million, or $1.30 per diluted share, compared to a net loss of $20.1 million, or $(1.54) per share, for 2004.
Revenue for 2005 was $101.2 million compared to $11.3 million for 2004.
Orckit president Izhak Tamir said, "Our results for 2005, which include record profitability, were driven by the nation-wide deployment of Corrigent's CM-100 product line by KDDI in Japan. This deployment ramped throughout the year and we expect deployment to continue in 2006. Based on the initial success of KDDI's Metal Plus and Hikari Plus service offerings, which are supported by our CM-100 products, we believe that our relationship with KDDI will expand as they roll out new IP services."
For the quarter ending March 31, 2006, Orckit expects revenue of approximately $24.0 million and net income of approximately $3.8 million, or $0.22 per diluted share.
For the year ending December 31, 2006, Orckit expects revenue of approximately $125 million and net income of approximately $25.8 million, or $1.50 per diluted share.
Published by Globes [online], Israel business news - www.globes.co.il - on Tuesday, February 21, 2006