Juniper tops 3Q expectations but weak revenue outlook hurts shares after hours

MarketsAssociated Press

Juniper Networks Inc. on Thursday reported a better-than-expected third quarter and announced plans to increase its share repurchases. But a weak fourth-quarter outlook sent the computer network equipment maker's shares down in extended trading.

The Sunnyvale, California-based company reported a third-quarter profit of $103.6 million, or 23 cents per share. On an adjusted basis, it earned 36 cents per share. Analysts surveyed by Zacks Investment Research were anticipating earnings of 35 cents per share.

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Juniper posted revenue of $1.13 billion in the period, exceeding analyst forecasts of $1.12 billion.

The company also said that its board has increased its share repurchase authorization by $1.1 billion. The company had previously planned to return $3 billion shareholders over a three-year period ending in 2016.

Juniper said that it expects to earn 28 to 32 cents per share for the current quarter on revenue between $1.03 billion to $1.08 billion. Analysts were anticipating 41 cents a share on revenue of $1.19 billion, according to FactSet.

Its shares added 64 cents to close at $20.32 before the earnings report and dropped 1 percent to $20.10 in extended trading following the report.