Tellabs Revenue Rises
On a GAAP basis, Tellabs earned $59 million or 13 cents per share in the third quarter of 2006, up 41% from $42 million or 9 cents per share in the third quarter of 2005.
On a non-GAAP basis, Tellabs earned $73 million or 16 cents per share, up from $68 million or 15 cents a share in the third quarter of 2005. Non-GAAP results exclude pretax charges of $17.4 million for special items, including $9.5 million or 1.3 cents per share in equity-based compensation expense.
"We believe that telecom service providers are in the early stages of network transformations driven by new mobile and consumer triple-play services," said Krish A. Prabhu, Tellabs president and chief executive officer. "Tellabs is well-positioned in faster-growing markets as service providers advance their networks."
Broadband -- Revenue from the broadband segment totaled $273 million, up 3% from $264 million in the third quarter of 2005. Within the broadband segment, access revenue fell 3% to $161 million from $166 million in the third quarter of 2005. Managed access revenue fell 5% to $80 million from $84 million a year ago. Data revenue more than doubled to $32 million from $14 million in the third quarter of 2005.
Transport -- Revenue from the transport segment totaled $203 million, up 30% from $156 million in the third quarter of 2005.
Services -- Services revenue was $46 million, up 6% from $44 million in the third quarter of 2005.
Share Repurchase -- Under previously announced share repurchase plans, Tellabs repurchased 7.6 million shares for $76.3 million during the third quarter of 2006.
Simultaneous Webcast and Teleconference Replay -- Tellabs will host an investor teleconference at 7 a.m. Central Daylight Time today to discuss its third-quarter results and provide its outlook for the fourth quarter. Internet users can hear a simultaneous webcast of the teleconference at http://www.tellabs.com ; click on the webcast icon. A taped replay of the call will be available beginning at approximately 10 a.m. Central Daylight Time today, until 10 p.m. Central Daylight Time on Friday, Oct. 27, at 800-642-1687. (Outside the United States, call 706-645-9291.) When prompted, enter the Tellabs reservation number: 7957926. A podcast of the call will be available at http://www.tellabs.com/news/feeds/ later today.
Tellabs Inc. (Nasdaq: TLAB; Frankfurt: BTLA)