Quarterly results from wireless backhaul providers Ceragon Networks and Ubiquiti Networks were mixed.
Ceragon reported revenues of $90.1 million, a drop of 20% from the $112.7 million that it earned during the same period last year, and about the same as its revenues from the first quarter of this year. The company posted a larger net loss, coming in at $7.5 million compared to a loss of $2.9 million during the prior year.
Nevertheless, President and CEO Ira Pali said that Ceragon “[sees] signs of improvement in the business environment” and that bookings increased during the second quarter.
“We are particularly pleased with our expanding penetration of large carriers, mainly in Latin America and Africa,” Palti said. “Our new products continue to garner early wins, and we are receiving excellent feedback on our roadmap from customers anticipating very high bandwidth requirements and the upcoming network architecture transition.”
Africa accounted for 34% of the company’s operations in the second quarter, followed by Latin America (28%) and Europe (17%), with North America making up only 7% of its revenues.
Ubiquiti Networks, which provides wireless backhaul and other networking solutions, saw its revenues of $101.2 million jump 22% from the previous quarter, in its third consecutive quarter of sequential double-digit revenue growth. Revenues were also up year-over-year from $94.9 million in the same period last year.
Despite the growth, however, the company’s revenues for its full fiscal year were down 9% from the $353.5 million earned during the previous year.
Net income was $28.8 million, up 40% sequentially.
Ubiquiti said it was a record quarter for the company’s airMAX networking product and that it saw accelerating traction in its WLAN business. Ubiquiti also introduced an integrated video surveillance system, as well as providing a new wireless network for Ecuador’s Universidad del Azuay campus.
“Finishing fiscal 2013 with record quarterly revenue and earnings demonstrates our ability to quickly overcome challenges. Now we are turning our full focus to growth,” said Robert J. Pera, Founder, CEO and executive chairman of Ubiquiti. “Our business model, innovative technology and user community are continuing to disrupt incumbents in the networking market.”
Ubiquiti expects revenues between $116 million-$122 million for the next quarter.
