AudioCodes To Restructure, Cut 10 Percent Of Opex1:38 PM EST Wed. Jul. 11, 2012
VoIP infrastructure provider AudioCodes said Wednesday it will restructure operations in an attempt to cut expenses by 10 percent over the next six to nine months.
No other details were provided, except that AudioCodes is expecting $31 million in revenue and a diluted loss-per-share of about $0.04 in its fiscal second quarter. AudioCodes is restructuring in order to "return to profitability" and "focus investments in innovations around its key strategic initiatives in the unified communications and enterprise telephony markets."
In a statement, Shabtai Adlersberg, AudioCodes' chairman, president and CEO, said the company will provide more details during its second-quarter conference call on July 24.
"We are in the process of conducting a full global review of our operations to reduce annual operation expenses, simplify the organization and refine future investments," Adlersberg said.
AudioCodes swung to a loss in its first fiscal quarter, revealing in May that it had posted revenue of $32.3 million and a net loss of $1.6 million, compared with $41 million in revenue and $3 million in profit for the year-earlier quarter.
At the time Adlersberg blamed weaker-than-expected sales in North America, particularly in AudioCodes' OEM relationships and in the government sector.
The Lod, Israel-based company is consistently mentioned among leading IP infrastructure providers, particularly in hot markets like enterprise session border controllers (SBC). Infonetics Research pegged AudioCodes at 5 percent market share of the enterprise SBC market for 2011 -- a jump into third place, behind Acme Packet and Cisco. It rolled out a software-only version of its SBC in March.
AudioCodes reported revenue of $155.8 million for its fiscal 2011.
PUBLISHED JULY 11, 2012