Duluth, Ga. -- Antec Corp. shares were hammered last
Wednesday, even though its third-quarter earnings came in about as expected.
After closing at $59.56 Tuesday, Antec's share price
slid as low as $41.75 before closing at $44.63, down 21 percent. Early Thursday, it
bounced back a bit, rising $1 shortly before noon.
Analysts cited investor jitters about Antec's share
price and an upcoming profit margin pinch because the company is increasing production of
lower-margin products. Antec said its gross-profit margin declined to 21.1 percent from
22.4 percent in the second quarter.
The company said third-quarter revenue rose to $237.2
million in the quarter, up 58 percent from the same period a year ago, and net income
doubled, to $10.8 million from $5 million.
Sales to key customer AT&T Broadband & Internet
Services rose 153 percent from the prior year's third quarter, to $105 million, and
domestic sales to other customers rose 33 percent, the company said.
The quarterly profit translated to 27 cents per share,
which was the analysts' consensus, although some investors clearly expected more.