Casa Systems (NASDAQ: CASA) shares are trading higher premarket on Friday after the company reported its fourth-quarter results, revealing record revenue, wireless revenue, and gross profit.
The telecommunications equipment group revealed its revenue for the period was up 7% at $120.5 million, while it's earnings per share came in at $0.16 above the market consensus of $0.27.
Casa's gross margin was 51.6%, while its EBITDA was $25.3 million.
“We had one of our strongest quarters with record wireless revenue and a healthy backlog to support our top-line growth in 2021,” said Jerry Guo, Casa Systems’ President and CEO.
“Our progress this year is evident in our scaling up of new products including our industry leading 5G millimeter wave fixed access devices, diversifying our revenue through increased wireless and fixed telco sales, and expanding our customer base, while simultaneously improving our cost structure,” Guo added.
Casa Systems forecast for the fiscal year 2021 show the expected revenue between $425 million and $445 million, while it expects it's earnings per share for the period to be between $0.23 and $0.32 with adjusted EBITDA of between $60 million and $70 million.
Scott Bruckner, Casa Systems’ FCO, said: “We achieved top-line and gross profit growth and continued operating leverage off of our efficient cost structure to deliver significant growth in operating income, EBITDA and EPS. We closed the year with a strong cash balance and increased working capital that further strengthened our liquidity and advanced our financial deleveraging.”
The company share prices up 36.27% premarket on Friday training at $11.61 following Thursday's close at $8.52.