Akamai 3Q profit, sales beat expectations
CAMBRIDGE, Mass. (AP) — Online content-delivery company Akamai Technologies Inc. said Wednesday that its third-quarter earnings rose 14 percent from a year ago as revenue grew.
CEO Paul Sagan credited the growth to investments in cloud computing, Web security, mobile services and online video.
Net income in the three months to Sept. 30 rose to $48.2 million, or 27 cents per share, from $42.3 million, or 23 cents per share, a year ago.
Excluding items such as stock-based compensation expenses, adjusted earnings came to 43 cents per share, beating the 41 cents expected by analysts polled by FactSet.
Revenue rose 23 percent to $345.3 million from $281.9 million. That also beat the $339 million expected.
Shares of Akamai rose $2.34, or 6.5 percent, to $38.45 in after-hours trading following the release of results. Earlier, shares dipped 38 cents, or 1 percent, to close at $36.11 in the regular session.