Cisco sales jump 27% in 2d period

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Cisco Systems Inc., the world's biggest maker of computer networking equipment, said second-quarter profit rose 40 percent as customers upgraded their communications systems for video.

Net income in the period ended Jan. 27 increased to $1.92 billion, or 31 cents a share, from $1.38 billion, or 22 cents, a year earlier, the San Jose, Calif., company said. Sales climbed 27 percent to $8.44 billion, beating analysts' estimates.

Newer, faster routers have helped Cisco win business from smaller rival Juniper Networks Inc. in the market for gear that directs Internet traffic. Sales of cable TV set-top boxes also surged 21 percent in the quarter, after Cisco bought Scientific Atlanta Inc. for $6.9 billion last year.

Third-quarter sales will rise 19 to 20 percent, chief executive John Chambers forecast. Analysts expect sales this period to rise 17 percent from a year earlier to $8.57 billion, according to a Bloomberg survey. In three of the past four quarterly calls, Cisco's sales forecast exceeded analysts' estimates, boosting the stock. (Bloomberg)

Tweeter flattened by TV price war

Tweeter Home Entertainment Group Inc.'s fiscal first-quarter earnings fell 94 percent to $874,000, or 3 cents a share, from $14.4 million, or 58 cents a share, a year earlier, hurt in part by the firm's television category.

The Canton electronics retailer said revenue for the period ended Dec. 31 fell 12 percent to $234.1 million from $266 million in the year-ago period.

Tweeter's stock has recently been hurt by a price war for flat-panel televisions that has eroded the company's profit margin.

Meanwhile, demand for older projection-style TVs has dropped.

Tweeter chief executive Joe McGuire says the firm is considering steps to meet short-term financial needs, such as selling its stake in Tivoli Audio. (Globe wires)

Brooks Automation swings to a profit

Brooks Automation Inc., which supplies hardware and software to the semiconductor industry, said it swung to a profit in the fiscal first quarter, as income was boosted by a pair of acquisitions and brisk sales at its core hardware automation business.

The Chelmsford company posted a quarterly profit of $22.1 million, or 30 cents per share, compared with a loss of $11.7 million, or 18 cents per share, during the same period in 2005. Revenue jumped 76 percent to $191.4 million from $108.5 million.

Analysts forecast a profit of 28 cents per share on revenue of $187.2 million.

The company said its acquisitions of Helix Technology and Synetics Solutions boosted revenue in the quarter by $44 million, while sales gains at its core automation hardware business added $39 million in revenue. (AP)

Revenue up 26% at Aspen Technology

Aspen Technology Inc., a provider of software to run manufacturing processes, said it will restate financial results for the fiscal years 2004 through 2006.

The restatements correct noncash adjustments to nonoperating income. Aspen said after the adjustments, nonoperating income will rise by $4 million in fiscal 2004; fall by $3 million in fiscal 2005; fall by $5 million in fiscal 2006; and increase by $500,000 in fiscal 2007's first quarter.

The Cambridge firm also reported fiscal second-quarter operating income of $25.8 million. The company said the restatements are expected to lead to a boost of $3 million to $4 million in the quarter's nonoperating income.

Revenue rose 26 percent to $96.4 million, boosted by a 45 percent leap in license revenue to $60.9 million. The total revenue figure surpassed analyst expectations of $80.1 million. (AP)

EStara acquisition lifts Art Technology

Art Technology Group Inc.'s fourth-quarter earnings rose 59 percent, boosted by its acquisition of eStara and business from new and repeat customers. The Cambridge provider of Internet customer relationship management and e-commerce products and services had fourth-quarter earnings of $5.06 million, or 4 cents a share, compared with $3.18 million, or 3 cents a share, a year earlier.

Art Technology said revenue rose 25 percent to $32.2 million from $25.7 million a year ago.

Analysts surveyed by Thomson Financial expected, on average, earnings of 4 cents a share on revenue of $29 million. (Dow Jones)