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Disappointing quarter for Petaluma's Calix

Published: Tuesday, July 31, 2012 at 2:58 p.m.
Last Modified: Tuesday, July 31, 2012 at 2:58 p.m.

Petaluma-based Calix, which makes broadband technology for communications networks, reported disappointing second-quarter earnings on Tuesday.

Revenues fell to $78.9 million during the quarter ending June 30, down 19.4 percent from the same time last year, when Calix reported $98 million in revenue.

“Softness in demand across multiple consumer markets led to an unexpected slowdown in capital expenditures by service providers,” Calix CEO Carl Russo said in a statement.

Economic conditions and uncertainty about regulatory reforms contributed to the slowed spending, he said.

“In spite of these challenges, Calix maintained gross margins at expected levels while reducing inventories and producing another quarter of positive cash flow,” Russo said.

Core profits fell to $1.9 million, or 4 cents per fully diluted share, down from $7.8 million, or 16 cents per share, a year ago. The figures exclude non-cash charges and one-time expenses.

Calix had alerted shareholders earlier this month that second-quarter revenues would fall below its previous estimate of $93 to $97 million.

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