Akamai easily bested analyst expectations yesterday after the market closed, posting Q4 numbers that reflected a strong holiday season and a growing appetite for the company’s security services.
Revenues were up to $536.3 million, just above the top bar of their own guidance and $10 million above analyst projections.
Adjusted earnings per share of $0.70 was about six cents ahead of projections as well. Along with security, the company singled out revenues derived from the gaming sector as particularly strong. The stock is up about 5% in the premarket this morning.
The company noted the potential for net neutrality legislation, but remains unconcerned. Not that they should be, as the kind of work Akamai does is relevant no matter how it gets regulated. Nothing much ever seems to knock them off their game, although the markets keep on waiting for it to happen.
It’s been a while now since Akamai did much M&A though. With consolidation in the cloud surely on the horizon, I suspect they may see some opportunities out there over the next year or two.
This article was authored by Rob Powell and was originally posted on Telecomramblings.com
Rob Powell is founder & editor of Telecom Ramblings, which was set up in 2008. The website is dedicated to discussing trends and developments in the telecom industry.