Calix (NYSE: CALX) reported that a jump in sales put its Q2 2013 revenue at $94.4 million, up 20 percent year-over-year from Q2 2012. The vendor said the rise in revenue was due to strong growth with both domestic Tier 1, 2, and 3 telcos and international service providers.
These results met the lower end of its forecasted guidance of between $94 million and $98 million.
"The year-over-year revenue growth in Q2 and better-than-anticipated bottom line results reflect the company's progress in expanding its reach into both domestic and international markets," said Carl Russo, president and CEO of Calix, during the earnings call.
While the vendor's international revenue declined slightly to $12.1 million, the segment made up 13 percent of its total revenues and it did have one 10 percent customer in the quarter.
One of the key initiatives Calix took during the quarter was to add enhancements to its existing E7-2 ESAP (Ethernet Service Access Platform) and 700GE ONT platforms and introduce a new product, the EXA Powered E3-48C.
With the new GPON-8 Card, customers can get 16 ports of GPON on Calix's ESAP, while new downloadable home gateway software will transform its E7 ESAP into a residential services gateway (RSG). As the latest member of its E3 family of sealed ESANs, the E3-48C offers up to 48 ports of "combo" VDSL2 and PSTN services.
Like its competitors ADTRAN (Nasdaq: ADTN) and Alcatel-Lucent (NYSE: ALU), Calix's platforms support vectoring, but Russo said that the technology is just one of many tools that wireline operators will migrate to and use where they need to extend the rate and reach of their existing copper networks.
"I look at vectoring just not the same way technologically, but the same way with new product lifecycles like ADSL and ADSL2 and then ADSL2+ and VDSL," he said. "I don't know that any of them are significant market expanders as much as they are the next technology that gets deployed in that market."
Looking towards Q3 2013, Calix has forecast revenue between $102 million and $106 million and gross margin between 46 percent and 47 percent.
Shares of Calix were listed at $11.73, up 0.01, or 0.08 percent, in Wednesday morning trading on the New York Stock Exchange.
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