BURLINGTON, Mass. -- Acme Packet, Inc. (NASDAQ:APKT - News), the leader in session border control solutions, today announced record results for the fourth quarter ended December 31, 2009 and raised its business outlook for 2010.

Results for the Fourth Quarter of 2009

Total revenue for the fourth quarter of 2009 was $41.3 million, compared to $30.6 million in the fourth quarter of last year and $36.3 million in the third quarter of 2009. Net income for the fourth quarter of 2009 was $9.1 million, or $0.14 per share on a diluted basis, compared to $3.7 million, or $0.06 per share on a diluted basis in the fourth quarter of 2008 and $3.6 million, or $0.06 per share on a diluted basis, in the third quarter of 2009. Net income on a non-GAAP basis for the fourth quarter of 2009 was $6.8 million, or $0.11 per share on a diluted basis, compared to $5.6 million, or $0.09 per share on a diluted basis, in the same period last year, and $5.7 million, or $0.09 per share on a diluted basis, in the third quarter of 2009. A reconciliation of GAAP to non-GAAP results is included at the end of this press release.

“We are pleased to report strong fourth quarter results which were highlighted by record revenues and solid earnings growth. Accelerating demand for our solutions over the last year has led to growing momentum in all areas of the business,” said Andy Ory, President and Chief Executive Officer of Acme Packet, Inc. “Looking ahead, we now expect to deliver revenue and earnings growth of approximately 30% in 2010 with operating margin, excluding stock-based compensation and amortization of acquired intangible assets, approaching 30% by the fourth quarter.”

Results for 2009

Total revenue for 2009 was $141.5 million, an increase of 22% compared to $116.4 million in 2008. Net income in 2009 was $17.1 million, or $0.28 per share on a diluted basis, compared to $11.6 million, or $0.18 per share on a diluted basis in 2008. Net income on a non-GAAP basis was $21.3 million, or $0.35 per share on a diluted basis, compared to $17.1 million, or $0.27 per share on a diluted basis in 2008. A reconciliation of GAAP to non-GAAP results is included at the end of this press release.

Company Raises Business Outlook for 2010

The Company today raised its full year business outlook for 2010. The Company’s outlook is based on the current indications for its business, which may change at any time.

Acme Packet Inc. (Nasdaq: APKT)