Allot beats analysts

Allot Communications Ltd. (Nasdaq:ALLT; TASE: ALLT) reported strong growth for the third quarter, beating the analysts' revenue and earnings per share forecasts. Revenue rose 37% to $20.1 million from $14.7 million for the corresponding quarter of 2010, and 9% more than the $18.5 million for the preceding quarter.

GAAP-based net profit rose to $2.1 million ($0.09 per share) for the third quarter from $752,000 for the corresponding quarter. Non-GAAP net profit rose to $3.4 million ($0.14 per share) from $1.3 million for the corresponding quarter. The company handily beat the analysts' forecast of $0.10 earnings per share on $18.6 million revenue.

Allot had $66.7 million in cash and cash equivalents at the end of September. The company is planning to raise $70 million in a secondary offering, reportedly in order to finance an acquisition.

Allot president and CEO Rami Hadar said, "Growth during the quarter was fueled by increasing activity across the wireless and wireline markets. We continue to win large mobile service providers across the globe."

Allot's share price rose 1.9% in early trading on Nasdaq to $13.62, giving a market cap of $330 million, after rising 0.6% on the TASE to NIS 50.25, one of the few companies to buck the market.

Published by Globes [online], Israel business news - www.globes-online.com - on November 1, 2011