- Revenue grew to $197.3 million, up 22 percent year-over-year
- GAAP net income was $33.4 million, up 37 percent year-over-year, or $0.18 per diluted share
- Normalized net income* was $74.2 million, up 19 percent year-over-year, or $0.40 per diluted share
CAMBRIDGE, Mass. – October 30, 2008 – Akamai Technologies, Inc. (NASDAQ: AKAM), the leader in powering rich media, dynamic transactions and enterprise applications online, today reported financial results for the third quarter ended September 30, 2008. Revenue for the third quarter 2008 was $197.3 million, a 22 percent increase over third quarter 2007 revenue of $161.2 million, and a two percent increase over second quarter 2008 revenue of $194.0 million.
Net income in accordance with United States Generally Accepted Accounting Principles, or GAAP, for the third quarter of 2008 was $33.4 million, or $0.18 per diluted share.
The Company generated normalized net income* of $74.2 million, or $0.40 per normalized diluted share*, in the third quarter of 2008, a 19 percent improvement over 2007 third quarter normalized earnings of $62.4 million, or $0.34 per diluted share, and down slightly compared to the second quarter 2008 normalized net income of $76.5 million, or $0.41 per diluted share. (*See Use of Non-GAAP Financial Measures below for definitions.)
“We delivered solid earnings and revenue growth in an increasingly difficult environment, and year-to-date we’ve generated a quarter of a billion dollars in cash flow from operations,” said Paul Sagan, president and CEO of Akamai. “We continued to experience strong growth in our newer solutions, such as application performance services and dynamic site acceleration, and we’re excited about the introduction of Akamai’s Advertising Decision Solutions product line complemented by the announcement of the pending acquisition of acerno.”
Adjusted EBITDA* for the third quarter of 2008 was $90.5 million, a 26 percent increase over third quarter 2007 adjusted EBITDA of $71.9 million, and down two percent from the second quarter 2008 adjusted EBITDA of $92.7 million. Adjusted EBITDA margin* for the third quarter was 46 percent, a one point improvement over the third quarter of last year. (*See Use of Non-GAAP Financial Measures below for definitions.)
Cash from operations was $93 million in the third quarter of 2008. Year to date cash from operations was $251 million, an increase of 52 percent over the same period last year. At the end of the third quarter of 2008, the Company had approximately $789 million in cash, cash equivalents and marketable securities.
The Company had approximately 169 million shares of common stock outstanding as of September 30, 2008.
The number of customers under long-term services contracts at the end of the third quarter increased by 83 to a record 2,808.
Sales through resellers and sales outside the United States accounted for 17 percent and 26 percent, respectively, of revenue for the third quarter 2008.
For copies of the Financial Statement, please contact:
Gillie Tennant/James Cooper
Email: email@example.com / firstname.lastname@example.org
The Akamai Difference
Akamai® provides market-leading managed services for powering rich media, dynamic transactions, and enterprise applications online. Having pioneered the content delivery market one decade ago, Akamai's services have been adopted by the world's most recognized brands across diverse industries. The alternative to centralized Web infrastructure, Akamai's global network of tens of thousands of distributed servers provides the scale, reliability, insight and performance for businesses to succeed online. Akamai has transformed the Internet into a more viable place to inform, entertain, advertise, interact, and collaborate. To experience The Akamai Difference, visit www.akamai.com.
This press release was distributed by ResponseSource Press Release Wire on behalf of Ascendant Communications in the following categories: Business & Finance, Computing & Telecoms, for more information visit https://pressreleasewire.responsesource.com/about.