Ditech up; sees revenue up as international operations grow | VailDaily.com

Ditech up; sees revenue up as international operations grow

Associated Press

NEW YORK – Ditech Communications Corp. stock rose Friday after the telecommunications equipment maker forecast a jump in revenue after reporting a loss for its latest quarter that was smaller than expected.Shares of Ditech rose $1.78, or 28 percent, to $8.23 in afternoon trading on the Nasdaq Stock Market.”I think we have a good several-quarter trend here of growth. These guys are bouncing off the bottom,” B. Riley & Co. analyst Wes Cummins said.He said investors were not only pleased with the revenue forecast but by the fact that the international operations were beginning to show some traction.”They’ve been working at growing international revenue for the past two years fairly unsuccessfully,” he said, noting that many see this is as potentially an important growth area for the Mountain View, Calif.-based company.In the latest quarter, international revenue accounted for about 5 percent of the company’s top line. During the quarter, the company, whose products are used in voice networks, won a contract with an undisclosed international carrier with operations in several countries.After the market closed Thursday, Ditech said it lost $1.39 million, or 4 cents a share, on revenue of $10.5 million in the fiscal second quarter ended Oct. 31.In the same period a year earlier, it earned $45.8 million, or $1.27 a share, on revenue of $24.3 million.Analysts were expecting earnings of 6 cents a share, according to Thomson Financial.B. Riley makes a market in Ditech shares.Vail, Colorado

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