Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
SONS Weekly Chart: BREAKOUT ALERT.............last weeks close above the 1st week of March's closing price was technically significant............the 1st week of March closing price was the benchmark price to close above for the week.........the holiday week may have been shortened, but not SONS Monster Move!...........
The KEY level to close above next week is 4.00..........the high of the week for the 1st week of March is the new price to close above........when SONS closes above 4.00 for the week you'll know it's Major Showtime!............$$$
good point & that did catch my EYE........I freaking hate gaps........always leaves uncertainty.........w/ SONS having it's highest weekly close in 52 weeks "this time may be different".........what a dreadful saying.......lol..........
checkout my weekly chart........$$$
Yeah but it left a stinking gap. SONS fills its gaps.
Great day for Sonus.
Nah....SONS is growing but there is plenty of time. But up 5% in pre market. Could be a good day for a trade. My long shares are locked up
Better add a little quicker Dolan Raymond the CEO just bought a million shares
Looking great so far
Looks like revenues beat estimates, let's see what happens with the share price...
If I remember correctly they said q1 might be behind pace.
Earnings come out tomorrow morning before the bell, let's hope for a positive surprise! Their revenue guidance back in March suggested the earnings would be exactly what analysts are expecting for Q1, but you never know...
I'm slowly adding...very slowly
With the revenue guidance they put out I'm surprised more people aren't getting in this at these levels. Although, it would have to be a long play...
apologies .. re: missing your post
i've been away .. with limited access
but i will be more than happy to respond
when back in a few days .. and i've had a
chance to catchup on the various filings
=
4kids
all jmo
Hey fourkids, what do you make of this public offering? have you read the PR?
Sonus Hosts Investor Day; Introduces Financial Targets for 2015
Company affirms guidance for the first quarter and full year fiscal 2014
Company targets double digit revenue growth and operating margins for fiscal year 2015
SAN FRANCISCO--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP communications, today is holding a meeting for the investment community in San Francisco, CA. The Company will provide an overview of the key industry trends driving its business and discuss the market opportunity and strategic initiatives underpinning the Company's long-term growth. The Company is affirming its outlook for the first quarter and full year 2014 as provided on February 20, 2014, and is providing additional financial targets for fiscal year 2015.
Quotes
"Our industry is experiencing a disruptive shift in the way networking has traditionally been delivered," said Ray Dolan, president and chief executive officer of Sonus. "Sonus is embracing this change and is deeply committed to delivering an innovative strategy that aligns with the trends around the virtualization of network functions and the cloud. The strategic role Sonus is playing within this environment underscores our confidence in the financial targets we are providing today. We look forward to sharing more about our strategy and outlook at today's investor and analyst meeting."
Mark Greenquist, chief financial officer of Sonus, said, "2013 was a transformative year for Sonus whereby our Session Border Controller (SBC) growth engine represented more than 50 percent of our total product revenue, and we turned the corner to profitability on a non-GAAP basis." Greenquist continued, "This foundation has set the stage for us to accelerate revenue growth and realize greater operating efficiencies. We expect our two most important growth markets, SBC and Diameter Signaling Controllers (DSC), to show continued strong growth in 2014 and 2015. Our views are supported by independent industry analyst forecasts from Exact Ventures and Infonetics which show an aggregate growth rate for the SBC and DSC markets of between 25-30% for these periods of time. These strong market trends, coupled with our total revenue shifting predominately to these growth-related businesses in 2014, underscore our expectation to deliver double digit revenue growth and operating margins of approximately 10% in fiscal year 2015."
Outlook
The Company affirms its guidance as originally provided on February 20, 2014. The Company's outlook is based on current indications for its business, which may change. A statement on the use of non-GAAP financial measures and a reconciliation of the non-GAAP to GAAP outlook are included at the end of this press release.
First Quarter 2014 Guidance
Q114 (Sonus) Q114 (PT) Q114 (Sonus + PT)
Total Company Revenue $67M $3M $70M
SBC Total Revenue $33M n/m $33M
Gross Margin 63.5% not provided 63%
Opex $44M not provided $46M
EPS $(0.01) breakeven $(0.01)
Diluted Shares Outstanding 266M n/a 266M
Full Year 2014 Guidance
FY14 (Sonus) FY14 (PT) FY14 (Sonus + PT)
Total Company Revenue $285M $15M $300M
SBC Total Revenue $165M $3M $168M
EPS $0.06 $(0.01) $0.05
Diluted Shares Outstanding 264.5M n/a 264.5M
2015 Financial Targets
For the first time, the Company is providing targets for fiscal year 2015. The Company is targeting approximately 10% total revenue growth in 2015 driven by the enterprise and service providers SBC markets and emerging growth in the DSC market. The Company is also targeting operating margins of approximately 10% in 2015 underpinned by revenue growth; steadily improving gross margins, which are aided by a mix-shift to more standards-based products and higher software content; and a gradual reduction in operating expenses as a percentage of total revenue.
Investor Day Agenda and Live Webcast
As previously announced, the meeting will be held today, March 13, 2014, in San Francisco, CA. The program will include presentations by Sonus President and Chief Executive Officer Ray Dolan and other members of the senior management team.
The webcast will be available live on the Investor Relations page of the company's website investors.sonusnet.com/. Presentations will also be available on the website at the conclusion of the morning session. A recorded replay of the webcast will be available on the same Investor Relations page shortly after the conclusion of the Investor Day.
Investors and analysts not attending the meeting, but who would like to ask a question, can email questions at any time during the presentation to SonusIR@sonusnet.com.
Agenda (All Times Pacific)
8:00-9:00 Registration & Breakfast
Morning Session (Webcast)
9:00-10:45 Patti Leahy VP, Investor Relations
Ray Dolan President and Chief Executive Officer
Todd Abbott EVP, Strategy and Go-to-Market
Tony Scarfo EVP, Technology and Bus. Development
10:45-11:15 Q&A and Break
11:15-12:30 Peter Polizzi VP and GM, Sonus Global Services
Mark Greenquist Chief Financial Officer
Beatriz Infante Sonus Director
Ray Dolan President and Chief Executive Officer
Q&A
- end morning webcast -
12:30-1:30 Networking Lunch
Afternoon Session (Webcast)
1:30-4:00 Technology Workshop Kevin Riley, Chief Technology Officer
-- SBC and DSC Primer
-- SDN (Software Defined Networking) & NFV (Network Functions Virtualization)
-- Mobility
-- UC / WebRTC
- end afternoon webcast -
4:00-6:00 Cocktail Reception
Tags
Sonus Networks, Sonus, SONS, Investor Day, Analyst Day, Technology, Internet, Communications, Conference, IP-based network solutions, SBC, SBC 1000, SBC 2000, SWe, Software SBC, SBC 5100, SBC 5200, SBC 7000, SBC 9000, Sonus DEA, Sonus DRA, session border controller, session border control, session management, diameter signaling, SIP, SIP trunking, Cloud VoIP communications, unified communications, UC, VoIP, IP, virtualization, SDN, NFV.
About Sonus Networks
Sonus helps the world's leading communications service providers and enterprises embrace the next generation of SIP-based solutions including VoIP, video and Unified Communications through secure, reliable and scalable IP networks. With customers around the globe and over 15 years of experience transforming networks to IP, Sonus has enabled service providers to capture and retain users and both service providers and enterprises to generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonus.net or call 1-855-GO-SONUS.
Important Information Regarding Forward-Looking Statements
The information in this release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, which are subject to a number of risks and uncertainties. All statements other than statements of historical facts contained in this release, including statements in the "Quotes" and "Outlook" sections, statements regarding our future results of operations and financial position, business strategy, growth in the SBC and DSC markets, plans and objectives of management for future operations and plans for future product development and manufacturing, and statements regarding the impact of the PT transaction on Sonus' financial results, business performance and product offerings, are forward-looking statements. Without limiting the foregoing, the words "anticipates", "believes", "could", "estimates", "expects", "expectations", "intends", "may", "plans", "seeks", "projects" and other similar language, whether in the negative or affirmative, are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words.
Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors, including, but not limited to, the timing of our recognition of revenues; economic conditions; our ability to recruit and retain key personnel; difficulties supporting our strategic focus on channel sales; difficulties retaining and expanding our customer base; difficulties leveraging market opportunities; the impact of restructuring activities; our ability to realize benefits from the NET and PT acquisitions; the effects of disruption from the PT transaction, making it more difficult to maintain relationships with employees, customers, business partners or government entities; our success implementing the integration strategies for NET and PT; litigation; actions taken by significant stockholders; difficulties providing solutions that meet the needs of customers; market acceptance of our products and services; rapid technological and market change; our ability to protect our intellectual property rights; our ability to maintain partner, reseller, distribution and vendor support and supply relationships; higher risks in international operations and markets; the impact of increased competition; currency fluctuations; changes in the market price of our common stock; and/or failure or circumvention of our controls and procedures. These statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. We therefore caution you against relying on any of these forward-looking statements. Important factors that could cause actual results to differ materially from those in these forward-looking statements are discussed in Part I, Item 1A "Risk Factors", and Part II, Item 7 and Item 7A "Management's Discussion and Analysis of Financial Condition and Results of Operations", and "Quantitative and Qualitative Disclosures About Market Risk" in the Company's most recent Annual Report on Form 10-K.
Any forward-looking statement made by us in this release speaks only as of the date of this release. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise.
Sonus is a registered trademark of Sonus Networks, Inc. All other Company and product names may be trademarks of the respective companies with which they are associated.
Discussion of Non-GAAP Financial Measures
Sonus management uses a number of different financial measures, both GAAP and non-GAAP, in analyzing and assessing the overall performance of the business, making operating decisions, planning and forecasting future periods, and determining payments under compensation programs. Our annual financial plan is prepared both on a GAAP and non-GAAP basis, and the non-GAAP annual financial plan is approved by our board of directors. Continuous budgeting and forecasting for revenue and expenses are conducted on a non-GAAP basis (in addition to GAAP) and actual results on a non-GAAP basis are assessed against the annual financial plan. We consider the use of non-GAAP financial measures helpful in assessing the core performance of our continuing operations and liquidity, and when planning and forecasting future periods. By continuing operations we mean the ongoing results of the business excluding certain costs, including, but not limited to: stock-based compensation, amortization of intangible assets, acquisition-related costs and restructuring. We also consider the use of non-GAAP earnings per share helpful in assessing the performance of the continuing operations of our business. While our management uses these non-GAAP financial measures as a tool to enhance their understanding of certain aspects of our financial performance, our management does not consider these measures to be a substitute for, or superior to, GAAP measures. In addition, our presentations of these measures may not be comparable to similarly titled measures used by other companies. These non-GAAP financial measures should not be considered alternatives for, or in isolation from, the financial information prepared and presented in accordance with GAAP. Investors are cautioned that there are material limitations associated with the use of non-GAAP financial measures as an analytical tool. In particular, many of the adjustments to Sonus' financial measures reflect the exclusion of items that are recurring and will be reflected in our financial results for the foreseeable future.
Stock-based compensation is different from other forms of compensation, as it is a non-cash expense. For example, a cash salary generally has a fixed and unvarying cash cost. In contrast, the expense associated with an equity-based award is generally unrelated to the amount of cash ultimately received by the employee, and the cost to us is based on a stock-based compensation valuation methodology and underlying assumptions that may vary over time. We believe that excluding non-cash stock-based compensation expense from our operating results facilitates the ability of readers of our financial statements to compare our financial results to our historical operating results and to other companies in our industry.
We exclude the amortization of acquired intangible assets from non-GAAP expense and income measures. These amortization amounts are inconsistent in frequency and amount and are significantly impacted by the timing and size of acquisitions. Although we exclude amortization of acquired intangible assets from our non-GAAP expenses, we believe that it is important for investors to understand that intangible assets contribute to revenue generation. We believe that excluding the non-cash amortization of intangible assets facilitates the comparison of our financial results to our historical operating results and to other companies in our industry as if the acquired intangible assets had been developed internally rather than acquired.
We consider certain transition, integration and other acquisition-related costs to be unpredictable and dependent on a significant number of factors that may be outside of our control. We do not consider these acquisition-related costs to be related to the continuing operations of the acquired business or the Company. In addition, the size, complexity and/or volume of an acquisition, which often drives the magnitude of acquisition-related costs, may not be indicative of such future costs. We believe that excluding acquisition-related costs facilitates the comparison of our financial results to our historical operating results and to other companies in our industry.
In August 2012, we announced that we had committed to a restructuring initiative to streamline operations and reduce operating costs by closing and consolidating certain facilities and reducing our worldwide workforce. In connection with this initiative we have recorded restructuring expense in both 2013 and 2012. We believe that excluding restructuring expense facilitates the comparison of our financial results to our historical operating results and to other companies in our industry.
We believe that providing non-GAAP information to investors, in addition to the GAAP presentation, will allow investors to view the financial results in the way management views the operating results. We further believe that providing this information helps investors to better understand our financial performance and evaluate the efficacy of the methodology and information used by our management to evaluate and measure such performance.
SONUS NETWORKS, INC.
Reconciliation of Non-GAAP and GAAP Financial Measures - Outlook
(in millions, except percentages and per share amounts)
(unaudited)
Three months ended March 28, 2014
Sonus PT Combined
Revenue $ 67 $ 3 $ 70
Gross margin
GAAP outlook 62.4 % 61.9 %
Stock-based compensation 0.4 % 0.4 % (A)
Amortization of intangible assets 0.7 % 0.7 % (A)
Non-GAAP outlook 63.5 % 63.0 %
Operating expenses
GAAP outlook $ 51.2 $ 54.2
Stock-based compensation (5.4 ) (5.4 ) (A)
Amortization of intangible assets (0.3 ) (0.3 ) (A)
Acquisition-related (1.0 ) (1.6 )
Restructuring (0.5 ) (0.9 )
Non-GAAP outlook $ 44.0 $ 46.0
Earnings (loss) per share
GAAP outlook $ (0.04 ) $ - $ (0.04 )
Stock-based compensation expense 0.02 * 0.02 (A)
Amortization of intangible assets * * * (A)
Acquisition-related 0.01 * 0.01
Restructuring * * *
Non-GAAP outlook $ (0.01 ) $ - $ (0.01 )
Year ended December 31, 2014
Sonus PT Combined
Operating income (loss) as a percentage of revenue
GAAP outlook -3.6 %
Stock-based compensation expense 6.7 % (A)
Amortization of intangible assets 1.1 % (A)
Acquisition-related 0.5 %
Restructuring 0.3 %
Non-GAAP outlook 5.0 %
Earnings (loss) per share
GAAP outlook $ (0.03 ) $ (0.01 ) $ (0.04 )
Stock-based compensation expense 0.08 * 0.08 (A)
Amortization of intangible assets 0.01 * 0.01 (A)
Acquisition-related * * *
Restructuring * * *
Non-GAAP outlook $ 0.06 $ (0.01 ) $ 0.05
* Less than $0.01 impact on earnings per share.
(A) Excludes the impact of stock-based compensation and amortization of intangible assets arising from the acquisition of PT.
Great news!!! Thanks for posting!
Sonus Sets New Performance Standard with the Introduction of the SBC 7000 Session Border Controller
Purpose-Built Platform Delivers Nearly Two Times Greater Scale than Competitive Solutions for Secure, Reliable Delivery of Multimedia Services in the World's Largest Networks
Key Takeaways:
The Sonus SBC 7000 Session Border Controller (SBC) is designed to address scalability requirements for real-time, multimedia communications with the capability to license up to 150,000 sessions.
Purpose-built to support emerging services such as high definition (HD) voice and video, Voice over Long-Term Evolution (VoLTE) and Rich Communications Services (RCS), the SBC 7000 sets a new performance standard with industry-leading session and transcoding capacity.
The SBC 7000 is designed from the same common network core architecture found across the Sonus SBC 5000 portfolio.
The Sonus portfolio of software and hardware-based SBCs offers service providers considering network functions virtualization (NFV) more strategic deployment options based on field requirements and location.
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP communications, today introduced the Sonus SBC 7000 Session Border Controller (SBC), setting a new performance and capacity standard in the industry for secure, reliable delivery of voice, video and collaboration services in the world's largest communications networks.
The foundational strength of the SBC 7000 is its ability to support high capacity requirements for real-time, multimedia Session Initiation Protocol (SIP) traffic. The SBC 7000 touts the industry's highest scale - up to 150,000 sessions with fully enabled security, media and transcoding features. Delivering capacity without compromise, the SBC 7000 offers advanced functionality to support emerging services such as high definition (HD) voice and video, Voice over Long-Term Evolution (VoLTE) and Rich Communications Services (RCS), and it effectively addresses the unprecedented traffic demands these services will place on networks at access and interconnect borders.
As stated in the Infonetics Research report "SBC Strategies and Vendor Leadership: Global Service Provider Survey 2013," for the past five years, session capacity and scalability have been consistently rated among the top requirements for service providers deploying SBCs. As more Voice over Internet Protocol (VoIP) networks approach and exceed millions of residential subscribers, the need to interwork traffic not only between service providers but also within the carriers' networks becomes increasingly important. With scale and transcoding that is two times greater than the leading competitor, the SBC 7000 is uniquely positioned to help service providers secure and interwork the torrent of multimedia traffic that could otherwise overwhelm their networks.
For most service providers, security is the most important function of an SBC, and that function becomes even more critical as communications becomes increasingly mobile. The SBC 7000 supports more Secure Real-Time Transport Protocol (SRTP) sessions than any other SBC on the market, giving service providers maximum message authentication and replay protection for VoIP traffic.
The SBC 7000 is architected from the same common code base as the Sonus SBC 5000 portfolio of SBC core network solutions. Sonus is the only vendor on the market with a complete offering of virtualized and hardware-based SBCs that enable end-to-end, feature-rich multimedia communications from the enterprise branch office to the service provider Cloud. As more service providers consider deploying SBCs as part of network functions virtualization (NFV), the Sonus SBC portfolio provides operators with a roadmap for strategically deploying a mix of hardware and software-based SBCs to successfully scale their networks.
Quotes:
"Hardware is absolutely critical in certain segments of the market, and service providers should think about how they want to advantageously leverage a full portfolio of hardware and software SBCs. By maximizing the strength of each product - from deployment to deployment - carriers can design new service models with the capacity and agility needed to compete and win in the global market," said Zeus Kerravala, founder and principal analyst, ZK Research. "The SBC 7000 gives Sonus a well-rounded portfolio of virtualized and hardware-based SBCs - sharing a common code base - that allows service providers to be more strategic with their deployments without fear of being locked into one platform type."
"Service providers today are facing insatiable demand for multimedia communications applications - voice, video and data - and many of them are struggling with how to meet this demand. The SBC 7000 is designed to scale to service providers' highest projections, with full media, transcoding and security enabled. Sonus now offers a disruptive platform that resets service providers' expectations for real-time dependent sessions with scale," said David Tipping, vice president and general manager, Sonus SBC Business. "Having the same architecture across our network core portfolio of SBCs allows service providers to start immediate deployment of the SBC 7000, thus eliminating the need to go through proof of concept deployments that many service providers face with competitive solutions."
Other Facts:
For two consecutive years, Sonus has been positioned in the Leaders quadrant of the "Magic Quadrant for Session Border Controllers" and was the largest gainer in the report published on October 21, 2013 by Gartner, Inc.
Additional Resources:
For more information about the SBC 7000, including a product data sheet, visit the SBC 7000 site here.
Download the whitepaper "Software-Based Session Border Controllers are Critical to the Evolution of Communications" here.
Click here to download electronic copies of Sonus' reference guides: Session Border Controllers for Dummies, WebRTC for Dummies, Lync Enterprise Voice for Dummies and SIP Trunking for Dummies.
Tags/Keywords:
Sonus, SONS, SBC 7000, NFV, SBC SWe, software SBC, SBC, session border controller
About Sonus Networks:
Sonus helps the world's leading communications service providers and enterprises embrace the next generation of SIP-based solutions including VoIP, video and Unified Communications through secure, reliable and scalable IP networks. With customers around the globe and 15 years of experience transforming networks to IP, Sonus has enabled service providers and enterprises to capture and retain users and generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonus.net or call 1-855-GO-SONUS.
Important Information Regarding Forward-Looking Statements:
The information in this release may contain certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding future events that involve risks and uncertainties. Although Sonus believes that its expectations are based on reasonable assumptions, readers are cautioned that these forward-looking statements are only predictions and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. All statements other than statements of historical facts contained in this report are forward-looking statements. Our actual results may differ materially from those contemplated by the forward-looking statements. For further information regarding risks and uncertainties associated with Sonus' business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Sonus' filings with the Securities and Exchange Commission. Any forward-looking statements represent Sonus' views only as of the date on which such statement is made, and should not be relied upon as representing Sonus' views as of any subsequent date. While Sonus may elect to update forward-looking statements at some point, Sonus specifically disclaims any obligation to do so, except as required by law.
Sonus Networks
Wendy Tullo, +1-972-301-4978
wtullo@sonusnet.com
or
Lois Paul & Partners
Anastasia Efstratios, +1-617-986-5873
anastasia_efstratios@lpp.com
or
In EMEA
EML Wildfire
Louise Andrews
sonus@emlwildfire.com
Source: Sonus Networks
Great numbers here!!!
Delivers Record SBC Revenue for Fourth Quarter and Full Year
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP-based communications, today announced results for the fourth quarter and full year ended December 31, 2013.
Fourth Quarter 2013 Highlights
Total revenue was $76.2 million, up 1% compared to the fourth quarter of 2012.
Total SBC revenue (including product, maintenance and services) was $41.6 million, reflecting growth of 59% compared to the fourth quarter of 2012.
Represented 55% of total Company revenue and marks the first time total SBC revenue has represented more than half of the Company's total revenue in any quarter.
SBC product revenue was $32.2 million, reflecting growth of 56% compared to fourth quarter of 2012.
Represented 70% of total product revenue, a record high for the Company.
GAAP gross margins were 63.5%; non-GAAP gross margins were 64.7% representing an increase of 570 basis points compared to non-GAAP gross margins in the fourth quarter of 2012.
GAAP earnings per share was breakeven; non-GAAP diluted earnings per share was $0.02.
Full Year 2013 Highlights
Total revenue was $276.7 million, up 9% compared to full year 2012.
Total SBC revenue (including product, maintenance and services) was $129.9 million, reflecting growth of 48% over 2012.
Represented 47% of total Company revenue.
SBC product revenue was $97.4 million, reflecting growth of 44% over 2012.
Represented 58% of total product revenue and marks the first time SBC product revenue has represented more than half of the Company's total product revenue for the full year.
Enterprise sales contributed 27% of total product revenue.
Channel sales contributed 20% of total product revenue.
GAAP gross margins were 62.3%; non-GAAP gross margins were 63.6%, representing an increase of 360 basis points compared to non-GAAP gross margins in 2012.
GAAP loss per share was $0.08; non-GAAP diluted earnings per share was $0.02.
Announced stock buyback program to repurchase up to $100 million of the Company's common stock; executed approximately $59.3 million through December 31, 2013.
Announced industry's first full-featured, unlimited scale software-based SBC.
Successfully integrated the acquisition of Network Equipment Technologies, Inc. (NET), extending the Company's SBC product portfolio into the enterprise.
Announced the acquisition of Performance Technologies, Inc. (PT) in December 2013; announced the successful closing of the transaction in February 2014.
Acquisition expected to strengthen the Company's mobility and virtualization strategies.
Added several prominent leaders to the Company's Board of Directors and management team.
Quotes
"2013 was an unprecedented year of transformation for Sonus," said Ray Dolan, president and chief executive officer. "We had record SBC results whereby SBC product revenue represented more than 50 percent of our total product revenue for the full year - a first in the Company's history. We expect this trend to strengthen in 2014 when our total SBC revenue, including product, maintenance and services, is expected to represent more than half of our total Company revenue, further underscoring our successful transformation".
Dolan continued, "During the year, we also significantly expanded our product portfolio including adding important multi-media and IMS capabilities, launching the industry's most-scalable software-based SBC, and announcing our plans to expand into diameter signaling, arguably the fastest growing market in networking. The pace of our product innovation has accelerated and we're not done yet. We plan to make another significant product announcement in the coming week and look forward to sharing this news during Mobile World Congress in Barcelona. As a testament to our strong performance and our future potential, we also recently added several prominent leaders to our management team and Board of Directors. In short, we have entered 2014 with, we believe, the industry's strongest team and most competitive product portfolio. It's an exciting time to be at Sonus."
Mark Greenquist, chief financial officer, added, "Our solid financial performance and balance sheet have enabled us to invest in our business, both organically and through acquisitions, in order to fuel our growth engine, while also returning approximately $59 million to our shareholders through our stock buyback program. We believe that the Company is very well positioned for continued growth and value creation in 2014."
Key Management and Board Member Additions
The Company recruited several recognized leaders to its management team and Board of Directors, including Mark Greenquist, former chief executive officer and chief financial officer of Telcordia Technologies, Inc., who joined as our chief financial officer in November 2013; Pamela D.A. Reeve, former president and chief executive officer of Lightbridge, Inc., who joined the Board of Directors in August 2013; Matthew W. Bross, chairman and chief executive officer of Compass-EOS and former chief technology officer of Huawei, British Telecom and Williams Communications; and Richard (Dick) J. Lynch, former executive vice president and chief technology officer of both Verizon Communications and Verizon Wireless. Messrs. Bross and Lynch joined the Board of Directors in February 2014.
Performance Technologies, Incorporated
On February 19, 2014, the Company announced the successful completion of its acquisition of Performance Technologies, Incorporated (PT). PT adds Diameter Signaling capabilities required in all-IP, IMS 4G/LTE (Long Term Evolution) networks, and is expected to fortify the Company's mobility and virtualization strategies.
Software-based SBC
On October 9, 2013, the Company announced the Sonus SBC SWe (Software edition), the industry's first software-based Session Border Controller that delivers unlimited scalability with the same advanced features and functionality of hardware on a virtualized platform. Sonus is the only vendor on the market with a common, hardened code base across its hardware and software SBC portfolio, providing customers with holistic investment protection. Scalable from as few as 25 to an unlimited number of sessions, the SBC SWe is feature equivalent to Sonus' award-winning hardware-based Sonus SBC 5000 Series. The Sonus SBC SWe addresses service providers' requirements for network functions virtualization (NFV) and software-defined networking (SDN)-enabled SBC technology to scale cloud-based delivery platforms.
Stock Buyback Program
During the fourth quarter of 2013, the Company repurchased a total of 7.7 million shares at a weighted average price of $2.87 per share, for a total of $22.3 million. Since the inception of the stock buyback program, which was authorized by the Board of Directors in July 2013, the Company has repurchased a total of 18.5 million shares for a total of $59.3 million as of December 31, 2013. Of this amount, 10.5 million shares were repurchased from the Company's two largest shareholders, thereby reducing the concentration of its shareholder base in an orderly fashion. As of December 31, 2013, there were 266.2 million shares of the Company's common stock, $0.001 par value, outstanding. Under the current plan, the Company is authorized to repurchase up to an additional $40.7 million of the Company's common stock.
Cash & Investments
The Company ended the fourth quarter of 2013 with approximately $246 million in cash and investments, which includes the impact of the share repurchases noted above.
2014 First Quarter and Full Year Outlook
The Company's outlook is based on current indications for its business, which may change during the current quarter. Gross margin, operating expenses and EPS are presented on a non-GAAP basis. A reconciliation of the non-GAAP to GAAP outlook and a statement on the use of non-GAAP financial measures are included at the end of this press release. SBC Total Revenue includes product, maintenance and services and, for the full year, also includes diameter signaling revenue relating to the acquisition of PT.
Acquisition Expected to Strengthen Sonus Mobility and Virtualization Strategies and Expand Sonus Addressable Market by 50%
Key Takeaways:
Acquisition expected to accelerate Sonus' mobility strategy by adding Diameter Signaling capabilities required in all-IP, IMS 4G/LTE (Long Term Evolution) networks.
Acquisition expected to expand and diversify Sonus' portfolio with an integrated, virtualized Diameter and SIP-based solution.
Diameter market, which is in its infancy, is rapidly expanding and projected to grow by an average of 42% per year from 2013 through 2017, to reach nearly $1 billion, according to Exact Ventures, which would allow Sonus to expand its addressable market by 50% to nearly $3 billion in 2017.
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (NASDAQ: SONS), a global leader in SIP communications, today announced the successful completion of its acquisition of Performance Technologies, Inc. (PT). As previously announced on December 13, 2013, Sonus and PT entered into a definitive merger agreement under which Sonus would acquire PT for $3.75 per share in cash, or approximately $34 million, net of PT's cash and excluding acquisition-related costs. The transaction was unanimously approved by the boards of directors of both companies and was also approved by PT shareholders.
The acquisition of PT enables Sonus to expand and diversify its portfolio as the combined entity expects to provide an integrated, virtualized Diameter and SIP-based solution and deliver strategic value to service providers seeking to offer new multimedia services through mobile, Cloud-based, real-time communications. PT's premier suite of IP-centric SEGway signaling products includes Diameter Signaling Controllers (DSC), which anchor the authentication, authorization and accounting messages sent across mobile networks. As the adoption of the mobile Internet grows, the DSC market is forecasted to grow by an average of 42% per year from 2013 through 2017, to reach nearly $1 billion, according to Exact Ventures.
Quotes:
Raymond P. Dolan, president and chief executive officer of Sonus, said, "We welcome the PT team, who brings invaluable expertise and a rock-solid diameter signaling product to Sonus. The combination of Sonus and PT allows us to bring together unique and complementary technologies in wireless and wireline network intelligence, which is anticipated to expand our addressable market by 50% and advance our mobility and virtualization strategies."
Strategic Benefits:
Enhanced Portfolio of Offerings. The acquisition of PT is aligned with Sonus' strategy to offer a portfolio of solutions that enables Cloud-based, real-time, multimedia communications across wireless and wireline networks. As adoption of the mobile Internet grows, Diameter is the IP-based signaling protocol standard that drives authentication, authorization and accounting messages in the IP Multimedia Subsystem (IMS) architecture of wireless 4G/LTE networks. Providing an integrated, virtualized Diameter and SIP-based solution will enable Sonus to offer a more strategic value proposition to service providers seeking to deliver new multimedia services through mobile, Cloud-based, real-time communications.
Significant Addressable Market. With 4G/LTE subscriber growth increasing, industry analysts project exponential growth in Diameter traffic to be generated by tablets, smart phones and other mobile devices. Sonus believes that the acquisition of PT positions Sonus to capture the significant opportunity this trend presents and should increase Sonus' total addressable market by 50%, from approximately $2 billion in 2017 (SBC-only) to nearly $3 billion in 2017, when combining the SBC and Diameter markets.
Complementary Assets. The DSC market is a natural extension of the Session Border Controller (SBC) market. SBCs and DSCs both serve as points of entry into core IP networks by providing security, admission control, intelligent routing and interworking capabilities. PT's SEGway Universal Diameter Routers and SS7 Signaling Systems provide tightly integrated signaling and advanced routing that span mission-critical demands of both existing and next-generation 4G/LTE and IMS networks
Guidance:
As indicated at the time the transaction was announced, the acquisition is expected to be accretive to Sonus' non-GAAP EPS for full year 2015 and mildly dilutive (two cents or less) in 2014. Further guidance will be provided when Sonus reports its fourth quarter and full year operating results on February 20, 2014.
Other Facts:
On December 13th, 2013 Sonus announced a definitive agreement to acquire PT.
Approximately 100 PT employees will join Sonus across three continents.
PT is headquartered in Rochester, NY and maintains direct sales and marketing offices in the U.S. in Raleigh, NC and Chicago, IL and international offices in London, England and Shanghai, China.
PT has Centers of Engineering Excellence in the U.S. in San Diego, CA and Rochester, NY and one in Kanata, Ottawa, Canada.
PT has a global installed base of more than 1,000 signaling system installations.
PT's SEGway Signaling solutions are deployed in more than one thousand locations globally, serving as a backbone for several premier wireless networks.
The number of 4G-LTE connections worldwide is forecast to pass one billion by 2017, according to a new study by GSMA Intelligence.
Other Resource:
Download the White Paper "Leveraging Synergies across Diameter and SIP Signaling in 4G/LTE Networks."
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP communications, today announced the appointment of Matthew W. Bross and Richard J. Lynch to its board of directors, expanding its base of directors from nine to eleven. Mr. Bross and Mr. Lynch will serve on the Corporate Development and Investment Committee and the Technology Strategy and Oversight Committee of the Board.
Bross is currently the Chairman and CEO of Compass-EOS, a pioneer in next-generation routing and silicon photonics. Prior to joining Compass-EOS, Bross was the global chief technology officer at Huawei Technologies and British Telecom (BT). As the global chief technology officer for Huawei, Bross was responsible for leading the technology and innovation strategy for the company across multiple technology and business domains including carrier, enterprise, devices, applications and services. As chief technology officer of BT, Bross was the driving force behind BT's 21st Century Network transformation program. Bross was also chief executive officer of BT Innovate, responsible for technology strategy, vision and innovation across all BT divisions. Bross was awarded a William Pitt Fellowship by Pembroke College at Cambridge University. In 2010, Bross was listed as one of the most powerful people in wireless by Fierce Wireless, and is currently on the board of directors of the EastWest Institute.
Lynch is currently president of FB Associates, LLC, which provides advisory and consulting services at the intersection of technology, marketing, and business operations. Lynch was the executive vice president and chief technology officer for Verizon Communications and Verizon Wireless. For his leadership in the early years of wireless data, Lynch was honored with the President's Award by the Cellular Telecommunications and Internet Association (CTIA). He has also been inducted into the Wireless History Foundation's Hall of Fame. Lynch currently serves on the boards of Ruckus Wireless (NYSE: RKUS) and Blackberry (NASDAQ: BBRY). He is a graduate of Lowell Technological Institute (now University of Massachusetts), where he received bachelor's and master's degrees in electrical engineering. Lynch has also completed post graduate work at the Wharton School of the University of Pennsylvania and the Johnson School of Management at Cornell University.
Howard Janzen, chairman of the board of directors, commented, "Matt and Dick are prominent industry leaders who each bring a unique combination of thought leadership and operational experience that will be invaluable to us as the company executes its next phase of growth."
Bross added, "Sonus is taking its reputation as a leading technology innovator to new levels. This is a perfect time to join the board as the company continues its successful transformation and launches into new growth markets."
Lynch added, "The company has done a tremendous job under Ray Dolan's leadership. It's an honor for me to join this world class board and executive team at a time when Sonus is demonstrating that it is becoming increasingly strategic to service providers and enterprises around the world."
Tags:
Sonus Networks, Sonus, SONS, Matthew W. Bross, Matt Bross, Richard J. Lynch, Dick Lynch, Board of Directors, Board, IP-based network solutions, SBC, SBC 1000, SBC 2000, SBC 5100, SBC 5200, SBC 9000, session border controller, VX series, session management, SIP trunking, Cloud VoIP communications, unified communications, UC, VoIP, IP, TDM.
About Sonus Networks
Sonus Networks, Inc. is a leader in IP networking with proven expertise in delivering secure, reliable and scalable next-generation infrastructure and subscriber solutions. With customers in over 50 countries across the globe and over a decade of experience in transforming networks to IP, Sonus has enabled service providers and enterprises to capture and retain users and generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonusnet.com.
Important Information Regarding Forward-Looking Statements
The information in this release may contain certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding future events that involve risks and uncertainties. Although Sonus believes that its expectations are based on reasonable assumptions, readers are cautioned that these forward-looking statements are only predictions and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. All statements other than statements of historical facts contained in this report are forward-looking statements. Our actual results may differ materially from those contemplated by the forward-looking statements. For further information regarding risks and uncertainties associated with Sonus' business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Sonus' filings with the Securities and Exchange Commission. Any forward-looking statements represent Sonus' views only as of the date on which such statement is made, and should not be relied upon as representing Sonus' views as of any subsequent date. While Sonus may elect to update forward-looking statements at some point, Sonus specifically disclaims any obligation to do so, except as required by law.
Sonus is a registered trademark of Sonus Networks, Inc. All other company and product names may be trademarks of the respective companies with which they are associated.
Sonus Networks, Inc.
Patti Leahy, 978-614-8440
pleahy@sonusnet.com
Source: Sonus Networks, Inc.
News Provided by Acquire Media
Sonus SBC SWe Demonstrates Accelerated Delivery of Unified Communications through the Service Provider Cloud with HP at Mobile World Congress 2014
Key Takeaways:
Sonus collaboration with HP highlights how service provider delivery of Cloud-based Unified Communications (UC) and Rich Communication Services (RCS) can be accelerated through virtualization.
Demonstration of the Sonus SBC SWe Session Border Controller (SBC) running on HP ProLiant servers will showcase Virtual Network Function as a Service (VNFaaS) use case, as defined by the European Telecommunications Standards Institute (ETSI) Industry Specification Group (ISG).
The joint solution will be located in HP's Mobile World Congress booth in Hall 3, Stand 3A20.
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP communications, today announced that the Sonus SBC SWe (Software edition) Session Border Controller (SBC) will be featured at Mobile World Congress 2014 as part of a joint project with HP to demonstrate how delivery of Cloud-based Unified Communications (UC) and Rich Communication Services (RCS) can be accelerated through virtualization.
The demonstration - located in the HP Mobile World Congress booth (Hall 3, Stand 3A20) - will be comprised of the Sonus SBC SWe running as a fully featured Network Functions Virtualization (NFV) application on HP ProLiant servers. The goal of NFV is to reduce the hardware, power and space requirements to deploy network functions on industry standard servers, switches and storage. The virtualization of network functions reduces dependency on dedicated hardware appliances for network operators and leads to improved scalability and customization across the entire network.
The European Telecommunications Standards Institute (ETSI) Industry Specification Group (ISG) for NFV is working to define the requirements, use cases and architecture for the virtualization of network functions. Together, Sonus and HP will demonstrate the Virtual Network Function as a Service (VNFaaS) use case, the goal of which is to allow service providers to virtualize enterprise customer premise equipment (CPE) on service providers' virtual networks so that enterprises can consume the resources they require as virtual services.
The SBC SWe can be readily deployed into existing virtualized infrastructure. The SBC SWe is the industry's first software-based SBC architected to deliver unlimited scalability with the same advanced features and functionality of Sonus' SBC 5000 Series, powering many of the world's largest service provider networks. The portability and flexibility of the SBC SWe makes it the ideal choice for service providers that have invested in virtualization technology, prefer pre-packaged "solutions in a box," require remote network deployments or want to expand opportunities into new geographic markets where deploying a hardware solution would be impractical or cost prohibitive.
Quotes:
"Sonus is helping service providers better understand how virtualization of key network elements can open new revenue opportunities through efficient, scalable Cloud-based service delivery," said Kevin Riley, chief technology officer, Sonus. "Collaboration among industry leaders is essential in moving this technology and market forward, which is why the work between Sonus and HP is critical in helping service providers best leverage their network assets."
"HP and Sonus have architected a virtual SBC demonstration that showcases how service providers can accelerate the rollout of Cloud-based Unified Communications and Rich Communication Services," said Werner Schaefer, vice president, network functions virtualization, HP. "By aggregating the SBC function at the provider edge, the virtual SBC accelerates rollout into both consumer and enterprise markets to enable broader deployment of virtualization technology."
Other Facts:
For two consecutive years, Sonus has been positioned in the Leaders quadrant of the "Magic Quadrant for Session Border Controllers" and was the largest gainer in the report published on October 21, 2013 by Gartner, Inc.
Additional Resources:
Download the whitepaper "Software-Based Session Border Controllers are Critical to the Evolution of Communications" here.
For more information about the SBC SWe, including product videos and executive interviews, visit the product site here.
Click here to download electronic copies of Sonus' reference guides: Session Border Controllers for Dummies, WebRTC for Dummies, Lync Enterprise Voice for Dummies and SIP Trunking for Dummies.
Tags/Keywords:
Sonus, SONS, SBC SWe, software SBC, SBC, session border controller, Mobile World Congress
About Sonus Networks:
Sonus helps the world's leading communications service providers and enterprises embrace the next generation of SIP-based solutions including VoIP, video and Unified Communications through secure, reliable and scalable IP networks. With customers around the globe and 15 years of experience transforming networks to IP, Sonus has enabled service providers and enterprises to capture and retain users and generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonus.net or call 1-855-GO-SONUS.
Important Information Regarding Forward-Looking Statements:
The information in this release may contain certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding future events that involve risks and uncertainties. Although Sonus believes that its expectations are based on reasonable assumptions, readers are cautioned that these forward-looking statements are only predictions and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. All statements other than statements of historical facts contained in this report are forward-looking statements. Our actual results may differ materially from those contemplated by the forward-looking statements. For further information regarding risks and uncertainties associated with Sonus' business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Sonus' filings with the Securities and Exchange Commission. Any forward-looking statements represent Sonus' views only as of the date on which such statement is made, and should not be relied upon as representing Sonus' views as of any subsequent date. While Sonus may elect to update forward-looking statements at some point, Sonus specifically disclaims any obligation to do so, except as required by law.
Sonus Networks
Wendy Tullo, +1-972-301-4978
wtullo@sonusnet.com
Lois Paul & Partners
Anastasia Efstratios, +1-617-986-5873
anastasia_efstratios@lpp.com
or
In EMEA
EML Wildfire
Louise Andrews
sonus@emlwildfire.com
Source: Sonus Networks, Inc.
News Provided by Acquire Media
Higher daily highs....
Higher daily lows....
Good signs here heading into earnings which I believe is next week.
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP communications, today announced that it will hold a meeting for investors and analysts at the Julia Morgan Ballroom in San Francisco from 8:00 a.m. to 6:00 p.m. PT on Thursday, March 13, 2014. The morning session will feature presentations from the Sonus senior management team regarding the company's expected growth opportunities, go-to-market strategy and financial performance. The afternoon session will feature a workshop on key technologies and industry trends underpinning the company's strategy.
Preliminary Agenda
8:00 am - 9:00 am Registration and breakfast
9:00 am - 12:00 pm Sr. Management presentations and Q&A
12:00 pm - 1:00 pm Networking luncheon
1:00 pm - 4:00 pm Technology workshop and Q&A
4:00 pm - 6:00 pm Cocktail Reception
Institutional investors and analysts are invited to learn more and register online at http://info.sonus.net/investor-day. For those unable to attend, the meeting will also be webcast live via the Sonus Investor Relations website where a replay will also be available for six months.
Tags:
Sonus Networks, Sonus, SONS, investor day, analyst day, financial performance, strategy, results, IP-based network solutions, SBC, SBC 1000, SBC 2000, SBC 5100, SBC 5200, SBC 9000, session border controller, VX Series, session management, SIP trunking, SDN, NFV, Diameter Signaling, Web RTC, Cloud VoIP communications, unified communications, UC, VoIP, VoLTE, IP, TDM
About Sonus Networks
Sonus Networks, Inc. is a leader in IP networking with proven expertise in delivering secure, reliable and scalable next-generation infrastructure and subscriber solutions. With customers in over 50 countries across the globe and over a decade of experience in transforming networks to IP, Sonus has enabled service providers and enterprises to capture and retain users and generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonusnet.com.
Important Information Regarding Forward-Looking Statements
The information in this release may contain certain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 regarding future events that involve risks and uncertainties. Although Sonus believes that its expectations are based on reasonable assumptions, readers are cautioned that these forward-looking statements are only predictions and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. All statements other than statements of historical facts contained in this report are forward-looking statements. Our actual results may differ materially from those contemplated by the forward-looking statements. For further information regarding risks and uncertainties associated with Sonus' business, please refer to the "Management's Discussion and Analysis of Financial Condition and Results of Operations" and "Risk Factors" sections of Sonus' filings with the Securities and Exchange Commission. Any forward-looking statements represent Sonus' views only as of the date on which such statement is made, and should not be relied upon as representing Sonus' views as of any subsequent date. While Sonus may elect to update forward-looking statements at some point, Sonus specifically disclaims any obligation to do so, except as required by law.
Sonus is a registered trademark of Sonus Networks, Inc. All other company and product names may be trademarks of the respective companies with which they are associated.
Sonus Networks
Patti Leahy, 978-614-8440
pleahy@sonusnet.com
Source: Sonus Networks, Inc.
News Provided by Acquire Media
Scalability, Flexibility, Transcoding and Reliability of Sonus Session Border Controllers Enable New Revenue Paths for Competitive Operator
Key Takeaways:
Sonus SBC 5000 Series Session Border Controllers has been selected based on exceptional transcoding, scalability, flexibility and reliability over competitive solutions.
Sonus SBCs allow Calltrade Carrier Services to increase revenues by offering interconnect, transcoding and advanced routing services to fixed-line, mobile and cable companies worldwide.
WESTFORD, Mass.--(BUSINESS WIRE)-- Sonus Networks, Inc. (Nasdaq: SONS), a global leader in SIP communications, today announced that Switzerland-based competitive operator Calltrade Carrier Services AG is using the Sonus SBC 5000 Series of Session Border Controllers as part of its wholesale voice over Internet Protocol (VoIP) service. The Sonus SBCs are being deployed at Calltrade interconnect borders - demarcation points where two networks meet - to secure the network borders as well as monitor and enforce service levels.
As an international communications provider, Calltrade terminates more than 15 billion minutes of voice traffic per year for fixed-line providers, mobile phone companies and cable companies worldwide. Calltrade is networked with more than 150 telecommunications carriers across the globe, including nearly all of the world's leading international carriers. To support Calltrade's global footprint, the Sonus SBC 5200 Series delivers advanced media services and protocol interworking to ensure seamless interoperability with other service providers.
The SBC 5200 Series supports up to 64,000 sessions on a single server and provides advanced routing and integrated transcoding capability. As the number and variety of devices connecting to the network increase, the SBC 5200 Series acts as a VoIP translator in the Calltrade network, ensuring that two devices with different codecs communicate properly. In addition, the Sonus SBCs enable high quality of service levels by adjusting bandwidth as voice, video and data cross the Calltrade network to ensure calls or sessions are completed without performance issues. Ensuring interoperability with other services, devices and endpoints on the network helps Calltrade increase revenues by offering interconnect, transcoding and advanced routing services to customers and partners worldwide.
Quotes:
"Terminating more than 15 billion minutes of traffic per year requires a Session Border Controller that can scale on-demand as our business continues to grow, without compromising performance. Calltrade selected the Sonus SBC 5200 Series because of its inherent strengths in supporting VoIP and SIP communications with high levels of security, media switching and transcoding services in a single, scalable device. Sonus SBCs provide exceptional transcoding functionality that no other SBC vendor is able to deliver," said Daniel Groth, president and chief executive officer, Calltrade Carrier Services AG.
"As the demand for network-to-network IP interconnection continues to expand, so does the critical role of Session Border Controllers in service provider networks, and we are proud to be a strategic part of Calltrade's network," said Serge Adam, vice president of EMEA, Sonus. "Sonus SBCs are designed for service providers seeking new revenue streams by transforming their network capabilities while ensuring exceptional levels of security and performance."
Other Facts:
The Sonus SBC 5000 Series of Session Border Controllers is headlined by the Sonus SBC 5110 Session Border Controller for deployments requiring up to 10,000 concurrent sessions as well as the SBC 5210 Session Border Controller which scales up to 64,000 concurrent sessions.
For two consecutive years, Sonus has been positioned in the Leaders quadrant of the "Magic Quadrant for Session Border Controllers" and was the largest gainer in the report published on October 21, 2013 by Gartner, Inc.
Sonus was named to the 2013 InformationWeek 500 List of Top Technology Innovators in the U.S. for a second consecutive year. Sonus received the award in recognition of its 2013 companywide Unified Communications (UC) deployment, featuring Microsoft Lync Enterprise Voice and Sonus SBCs.
Interesting after hours trade. Down from 3.12 to 3.00 in one trade?
would of shorted 3.40 plus down to the 2s
Yippee!
>10,000,000 available to short...
this will be 4 dollars be for you know it
nice i still love it check me out at www.smallcaplive.tv
Sonus Networks Announces Definitive Agreement to Acquire Performance Technologies, Inc.
Acquisition Expected to Fortify Sonus Mobility and Virtualization Strategies and Expand Sonus Addressable Market by 50%
Sonus Confirms Fourth Quarter and Full Year 2013 Guidance
Key Takeaways:
Transaction is expected to be accretive to non-GAAP EPS for full year 2015; mildly dilutive (two cents or less) in 2014.
Planned acquisition would accelerate Sonus' mobility strategy by adding Diameter Signaling capabilities required in all-IP, IMS 4G/LTE (Long Term Evolution) networks.
Diameter market, which is in its infancy, is rapidly expanding and projected to grow by an average of 42% per year from 2013 through 2017, to reach nearly $1 billion, according to Exact Ventures, allowing Sonus to expand its addressable market by 50% to nearly $3 billion in 2017.
Acquisition would expand and diversify Sonus' portfolio with an integrated, virtualized Diameter and SIP-based solution.
PT shareholders to receive $3.75 per share in cash.
WESTFORD, Mass. & ROCHESTER, N.Y.--(BUSINESS WIRE)-- Sonus Networks, Inc. (NASDAQ:SONS), a global leader in SIP communications, and Performance Technologies, Inc. (NASDAQ: PTIX), a global supplier of advanced, high availability network communications solutions, today announced that they have entered into a definitive merger agreement under which Sonus will acquire PT for $3.75 per share in cash, or approximately $30 million, net of PT's cash and excluding acquisition-related costs.
The acquisition of PT enables Sonus to expand and diversify its portfolio with an integrated, virtualized Diameter and SIP-based solution and deliver strategic value to service providers seeking to offer new multimedia services through mobile, Cloud-based, real-time communications. PT's premier suite of IP-centric SEGway signaling products includes Diameter Signaling Controllers (DSC), which anchor the authentication, authorization and accounting messages sent across mobile networks. As the adoption of the mobile Internet grows, the DSC market is forecast to grow by an average of 42% per year from 2013 through 2017, to reach nearly $1 billion, according to Exact Ventures.
Under the terms of the agreement, which was unanimously approved by the boards of directors of both companies, Sonus will acquire all of the outstanding shares of PT for $3.75 per share in cash. The purchase price represents a premium of 25.8% to PT's closing share price of $2.98 on December 12, 2013, and premiums of 25.0%, 26.8% and 26.8%, respectively, to PT's 30-, 60-, and 90-day average closing share prices through December 12, 2013.
Quotes:
"Today's mobile broadband traffic nearly eclipses all Internet activity from just a decade ago, driving the necessity for intelligent and capable Diameter Signaling Controllers that will allow mobile operators to efficiently deploy 4G/LTE," said Raymond P. Dolan, president and chief executive officer of Sonus. "The combination of Sonus and PT allows us to address this significant opportunity by bringing together unique and complementary technologies in wireless and wireline network intelligence, thereby expanding our addressable market by 50% and advancing our mobility and virtualization strategies. The transaction enhances Sonus' best-in-class portfolio, further enabling service providers and enterprises to deliver on the promise of real-time communications."
"Over our thirty-two year history, PT has been recognized for providing mission-critical solutions built on leading-edge technologies designed and supported by some of the best talent in our industry," said John M. Slusser, president and chief executive officer of PT. "The agreement with Sonus provides substantial value to our stockholders as the premium represents an approximately 25% per share premium to our closing stock price as of December 12, 2013. In addition to the financial benefits to our stockholders, in Sonus we find a dedicated team of kindred spirits, highly focused on driving continued growth in the next-generation network communications marketplace. Through this transaction, the value proposition of our broad Diameter and SS7 telecommunications signaling portfolio can be further leveraged and, in combination with Sonus' industry leading SBC and SIP-based product family, it offers an exciting opportunity to provide service providers with a compelling solution set as they architect and provision their networks."
Strategic Benefits:
Enhanced Portfolio of Offerings. The acquisition of PT is aligned with Sonus' strategy to offer a portfolio of solutions that enable Cloud-based, real-time, multimedia communications across wireless and wireline networks. As adoption of the mobile Internet grows, Diameter is the IP-based signaling protocol standard that drives authentication, authorization and accounting messages in the IP Multimedia Subsystem (IMS) architecture of wireless 4G/LTE networks. Providing an integrated, virtualized Diameter and SIP-based solution will enable Sonus to offer a more strategic value proposition to service providers seeking to deliver new multimedia services through mobile, Cloud-based, real-time communications.
Significant Addressable Market. With 4G/LTE subscriber growth increasing, industry analysts project exponential growth in Diameter traffic to be generated by tablets, smart phones and other mobile devices. The acquisition of PT positions Sonus to capture the significant opportunity this trend presents and should increase Sonus' total addressable market by 50%, from approximately $2 billion to nearly $3 billion in 2017, when combining the SBC and Diameter markets. According to Greg Collins, founder and principal analyst, Exact Ventures, "The Diameter Signaling Controller (DSC) market is still nascent with billions of dollars in revenue opportunity forecast for the coming years."
Complementary Assets. The DSC market is a natural extension of the Session Border Controller (SBC) market. SBCs and DSCs both serve as points of entry into core IP networks by providing security, admission control, intelligent routing and interworking capabilities. PT's SEGway Universal Diameter Routers and SS7 Signaling Systems provide tightly integrated signaling and advanced routing that span mission-critical demands of both existing and next-generation 4G/LTE and IMS networks. Additionally, PT's IPnexus Multi-Protocol Gateways and Servers enable a broad range of IP-interworking in data acquisition, sensor, radar and control applications for aviation, weather and other similar infrastructure networks.
Financing and Approvals:
The transaction will be funded using Sonus' existing cash on hand and is expected to be accretive to Sonus' non-GAAP EPS for full year 2015 and mildly dilutive (two cents or less) in 2014. The transaction is expected to close in the first quarter of 2014, subject to PT stockholder approval and the satisfaction of other customary closing conditions.
Guidance:
The company continues to experience solid demand for its current portfolio of products and services. As such, Sonus today is confirming its outlook for the fourth quarter and full year 2013 as provided on July 29, 2013. Sonus expects to provide 2014 guidance, which will include PT's contribution pending the closing of the transaction, when it reports its fourth quarter and full year operating results in February 2014.
Stock Repurchase Program:
As of December 12, 2013, Sonus has repurchased a total of approximately 18 million shares since the inception of its $100 million share repurchase program announced on July 29, 2013 and currently has approximately 267 million shares outstanding following the repurchases. Approximately $43 million remains available for future share repurchases either on the open market or in privately negotiated transactions.
Sonus expects to maintain a strong balance sheet, allowing it to continue to transform its business and invest in compelling growth opportunities, while returning capital to shareholders. The board of directors at Sonus believes that share repurchases represent an attractive investment opportunity and intend to continue to repurchase shares provided market conditions and other factors permit.
Advisors:
Evercore Partners Inc. is serving as Sonus' financial advisor, and Wilmer Cutler Pickering Hale and Dorr LLP is serving as Sonus' legal advisor. Bowen Advisors, Inc. is serving as PT's financial advisor, and Harter Secrest & Emery LLP is serving as PT's legal advisor. Craig-Hallum Capital Group, LLC provided a fairness opinion to PT's board of directors.
Other Facts:
PT's SEGway Signaling solutions are deployed in more than one thousand locations globally, serving as a backbone for several premier wireless networks.
Featuring a small footprint and high throughput capacity, SEGway is widely recognized as the wireless industry's leading signaling architecture.
PT is headquartered in Rochester, NY and maintains direct sales and marketing offices in the U.S. in Raleigh, NC and Chicago, IL and international offices in London, England and Shanghai, China.
PT has Centers of Engineering Excellence in San Diego, CA, Kanata, Ontario, Canada and Rochester, NY.
PT has a global installed base of more than 1,000 signaling system installations.
The number of 4G-LTE connections worldwide is forecast to pass one billion by 2017, according to a new study by GSMA Intelligence.
For two consecutive years, Sonus has been positioned in the Leaders quadrant of the "Magic Quadrant for Session Border Controllers" and was the largest gainer in the October 21, 2013 report by Gartner, Inc.
Other Resource:
Download the White Paper "Leveraging Synergies across Diameter and SIP Signaling in 4G/LTE Networks."
Conference Call Details:
Sonus will hold an investor conference call to discuss the intended acquisition of PT on Friday, December 13, 2013 at 8:30 a.m. ET. Please call 800-913-8744 in the U.S. or +1 212-231-2919 for international callers or listen to the webcast at http://investors.sonusnet.com/events.cfm. A presentation with supporting information will also be available at http://investors.sonusnet.com/events.cfm as well as at the SEC's website at www.sec.gov.
Archived Conference Call:
A telephone playback of the call will be available through 10:30 a.m. December 27, 2013 and can be accessed by calling 800-633-8284 or +1 402-977-9140 for international callers. The reservation number for replay is: 21699733. The webcast will be available after the conclusion of the call at http://investors.sonusnet.com/events.cfm and will be archived for 60 days.
Tags/Keywords:
Sonus, SONS, Performance Technologies, PT, PTIX, Diameter, IP multimedia subsystem, IMS, 4G, LTE, RCS, session border controller, SBC, session initiation protocol, SIP, SIP trunking, IPsec, media transcoding, IPv6, IPv4, interworking, Sonus SBC 5100, Sonus SBC 5200, SEGway Universal Diameter Routers, SEGway SS7 Signaling Systems, IPnexus Multi-Protocol Gateways VoIP, Unified Communications, UC, Cloud communications, Session Management, Sonus Partner Assure
About Sonus Networks:
Sonus (NASDAQ®: SONS) helps the world's leading communications service providers and enterprises embrace the next generation of SIP-based solutions including VoIP, video and Unified Communications through secure, reliable and scalable IP networks. With customers around the globe and 15 years of experience transforming networks to IP, Sonus has enabled service providers and enterprises to capture and retain users and generate significant ROI. Sonus products include session border controllers, policy/routing servers, subscriber feature servers and media and signaling gateways. Sonus products are supported by a global services team with experience in design, deployment and maintenance of some of the world's largest and most complex IP networks. For more information, visit www.sonus.net or call 1-855-GO-SONUS.
About PT:
PT (NASDAQ®: PTIX) is a global supplier of advanced, high availability network communications solutions. Its SEGway® Diameter and SS7 Signaling Systems provide tightly integrated signaling and advanced routing capabilities and applications that uniquely span the mission critical demands of both existing and next-generation 4G LTE and IMS telecommunications networks. The Company's IPnexus® Multi-Protocol Gateways and Servers enable a broad range of IP-interworking in data acquisition, sensor, radar, and control applications for aviation, weather and other infrastructure networks. Established in 1981, PT is headquartered in Rochester, NY and markets and sells its products worldwide through its direct sales organization as well as through channel partners that include major telecommunications equipment vendors, government prime contractors and value-added resellers.
Important Information Regarding Forward-Looking Statements
The information in this release contains "forward-looking statements" within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, which are subject to a number of risks and uncertainties. All statements other than statements of historical facts contained in this report are forward-looking statements. Without limiting the foregoing, the words "anticipates", "believes", "could", "estimates", "expects", "intends", "may", "plans", "seeks", "projects" and other similar language, whether in the negative or affirmative, are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. Examples of forward-looking statements include, but are not limited to, statements regarding the following: the parties' ability to close the transaction and the expected closing date of the transaction; the anticipated benefits and synergies of the transaction; the anticipated future combined operations, products and services; the impact of the transaction on Sonus' financial results, business performance and product offerings; and projected growth in the DSC market. Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Our actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors, including, but not limited to, uncertainties as to the timing and results of the PT stockholder vote; the possibility that various closing conditions for the transaction may not be satisfied or waived; the effects of disruption from the transaction, making it more difficult to maintain relationships with employees, customers, business partners or governmental entities; the success of the companies in implementing their integration strategies; the actual benefits realized from this transaction; disruptions to our business and financial conditions as a result of this transaction or other investments or acquisitions; the timing of our recognition of revenues; our ability to recruit and retain key personnel; difficulties supporting our new strategic focus on channel sales; difficulties retaining and expanding our customer base; difficulties leveraging market opportunities; restructuring activities; litigation; actions taken by significant stockholders; difficulties providing solutions that meet the needs of customers; market acceptance of our products and services; rapid technological and market change; our ability to protect our intellectual property rights; our ability to maintain partner, reseller, distribution and vendor support and supply relationships; higher risks in international operations and markets; the impact of increased competition; currency fluctuations; changes in the market price of our common stock; and/or failure or circumvention of our controls and procedures. Important factors that could cause actual results to differ materially from those in these forward-looking statements are discussed in Part I, Item 2 "Management's Discussion and Analysis of Financial Condition and Results of Operations", Part I, Item 3 "Quantitative and Qualitative Disclosures About Market Risk" and Part II, Item 1A "Risk Factors" in the Company's most recent Quarterly Report on Form 10-Q. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. We therefore caution you against relying on any of these forward-looking statements, which speak only as of the date made. Sonus is a registered trademark of Sonus Networks, Inc. All other company and product names may be trademarks of the respective companies with which they are associated.
Additional Information About the Merger and Where to Find It:
In connection with the proposed merger, PT plans to file a proxy statement with the Securities and Exchange Commission (the "SEC"). Additionally, PT and Sonus will file other relevant materials in connection with the proposed acquisition of PT by Sonus pursuant to the terms of the Merger Agreement by and among Sonus, PT, and Purple Acquisition Subsidiary, Inc. The definitive proxy statement will be sent to stockholders of PT and will contain important information about PT, Sonus, the proposed merger and related matters. Investors and security holders of PT are urged to read the definitive proxy statement and other relevant materials carefully when they become available before making any voting or investment decision with respect to the proposed merger because they will contain important information about the merger and the parties to the merger.
Sonus and PT, and their respective directors, executive officers, and other members of their management and employees, under SEC rules, may be deemed to be participants in the solicitation of proxies of PT stockholders in connection with the transactions contemplated by the merger agreement. Information regarding Sonus' directors and executive officers is contained in Sonus' Annual Report on Form 10-K for the year ended December 31, 2012 and its proxy statement dated April 25, 2013, and other relevant materials filed with the SEC when they become available. Investors and security holders may obtain detailed information regarding the names, affiliations and interests of certain of PT's executive officers and directors in the solicitation by reading PT's most recent Annual Report on Form 10-K for the year ended December 31, 2012, its proxy statement dated April 22, 2013, and other relevant materials filed with the SEC when they become available. Information concerning the interests of PT's participants in the solicitation, which may, in some cases, be different from those of PT's stockholders generally, will be set forth in the proxy statement relating to the merger when it becomes available. As of December 9, 2013, PT's directors and executive officers beneficially owned 1,897,488 shares (of which 909,584 shares are issuable upon exercise of options currently exercisable), or 15.8%, of PT's common stock.
The materials to be filed by Sonus and PT with the SEC may be obtained free of charge at the SEC's website at www.sec.gov. In addition, security holders will be able to obtain free copies of the proxy statement from PT when filed by contacting PT Investor Relations by e-mail at finance@pt.com or by telephone at 1-585-784-7276.
For Sonus Networks:
Patti Leahy, +1 978-614-8440
Investor Relations
pleahy@sonusnet.com
or
Wendy Tullo, +1 972-301-4978
Corporate Communications
wtullo@sonusnet.com
or
For PT:
Dorrance W. Lamb, +1 585-256-0200 ext. 7276
SVP and Chief Financial Officer
finance@pt.com
Source: Sonus Networks, Inc.
http://files.shareholder.com/downloads/SONS/2840942371x0xS1104659-13-90048/1105472/1104659-13-90048.pdf
~ $SONS ~ Daily Par Sar Buy Signal ~ Criteria alert triggered during a recent trading session!
$SONS has just triggered the "Parabolic SAR Buy Signals" scan criteria at Stockcharts.com
~ http://tinyurl.com/SAR-BUY ~
For a more in Depth study and DD profile, similar to the one contained in this link: ~ http://tinyurl.com/DDexample ~
Click the following link and type ticker or brief message asking me about the DD: ~ http://tinyurl.com/GET-THE-DD ~
What does the scan "Parabolic SAR Buy Signals" mean? Below is an image example and study link.
~ http://stockcharts.com/school/doku.php?id=chart_school:technical_indicators:parabolic_sar ~
To find other similar posts of "SONS" utilize the links that follow.
Search MACDgyver's "Parabolic SAR Buy Signals" posts: ~ http://investorshub.advfn.com/boards/msgsearchbymember.aspx?searchID=251916&srchyr=2013&SearchStr=ParSarBuyScan ~
Search MACDgyver's posts for symbol "SONS": ~ http://investorshub.advfn.com/boards/msgsearchbymember.aspx?searchID=251916&srchyr=2013&SearchStr=SONS ~
Search Ihub for "SONS" posts: ~ http://investorshub.advfn.com/boards/msgsearch.aspx?SearchStr=SONS ~
For more in depth training and information visit Chartschool on the Stockcharts page.
~ http://stockcharts.com/school/doku.php?id=chart_school ~
Also don't forget the Ihub Edu Channel.
~ http://investorshub.advfn.com/boards/education.aspx ~
c
Well we will see i am still in looking for $4 or better need to hit 3.60s or better to breakout of these pattern... IMO $SONS
Thanks for the eyeballs on Sonus. The share price keeps bobbing and weaving and today touched $3.43 on the low side. This may have been a mistake for me.
Trueheart
$SONS nice uptrend here if you are tracking!
Q2-2013-Earnings-Call
Matt's departure comes after 12 years of dedicated leadership at Sonus. Total SBC revenue including products and services was 29 million in the second quarter
http://www.earningsimpact.com/Transcript/82488/SONS/Q2-2013-Earnings-Call
The chart looks good for the $4, HS. I think that number is not far off.
Trueheart
nice i been holding for a while i want 4 bucks short term 6 dollar year target
Nice buy, HS. I got in today at $3.54 for a mere 700 shares.
GLTY.
Trueheart
~ $SONS ~ Daily Par Sar Buy Signal ~ Criteria alert triggered during a recent trading session!
$SONS has just triggered the "Parabolic SAR Buy Signals" scan criteria at Stockcharts.com
~ http://tinyurl.com/SAR-BUY ~
For a more in Depth study and DD profile, similar to the one contained in this link: ~ http://tinyurl.com/DDexample ~
Click the following link and type ticker or brief message asking me about the DD: ~ http://tinyurl.com/GET-THE-DD ~
What does the scan "Parabolic SAR Buy Signals" mean? Below is an image example and study link.
~ http://stockcharts.com/school/doku.php?id=chart_school:technical_indicators:parabolic_sar ~
To find other similar posts of "SONS" utilize the links that follow.
Search MACDgyver's "Parabolic SAR Buy Signals" posts: ~ http://investorshub.advfn.com/boards/msgsearchbymember.aspx?searchID=251916&srchyr=2013&SearchStr=ParSarBuyScan ~
Search MACDgyver's posts for symbol "SONS": ~ http://investorshub.advfn.com/boards/msgsearchbymember.aspx?searchID=251916&srchyr=2013&SearchStr=SONS ~
Search Ihub for "SONS" posts: ~ http://investorshub.advfn.com/boards/msgsearch.aspx?SearchStr=SONS ~
For more in depth training and information visit Chartschool on the Stockcharts page.
~ http://stockcharts.com/school/doku.php?id=chart_school ~
Also don't forget the Ihub Edu Channel.
~ http://investorshub.advfn.com/boards/education.aspx ~
c
i feel more to come option calls heating up
i'm in sons at 3.19 and holding strong waiting for the next run witch will happen when market rally's up nice
Followers
|
17
|
Posters
|
|
Posts (Today)
|
0
|
Posts (Total)
|
251
|
Created
|
04/30/03
|
Type
|
Free
|
Moderators |
Volume | |
Day Range: | |
Bid Price | |
Ask Price | |
Last Trade Time: |