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CacheFlow exceeds 1Q estimates

CacheFlow (Nasdaq: CFLO) topped analyst expectations in the first quarter.

After market close Wednesday, the vendor of network caching devices and content delivery technology reported a fiscal first quarter net loss of $4.7 million, or 14 cents per share, not counting special charges. First Call's survey of seven analysts predicted a loss of 17 cents per share for the quarter ended July 31.

Shares of CacheFlow rose to 96 in afterhours activity on the Island electronic communications network, following the quarterly report. CacheFlow stock closed Wednesday's regular trading at 93 1/4, down 11/16 for the session.

Including charges for stock compensation and goodwill writeodwns, CacheFlow lost $25.3 million, or 77 cents per share.

First quarter revenue grew to $22.4 million, up 75 percent sequentially. The company claimed leading market share position in its niche.

Gross margins rose to 63 percent from 62 percent in the second quarter.

"The market is very strong and CacheFlow continues to grow faster than the overall market which reflects the singular focus of the company as well as the strength and breadth of our product offering," said Brian NeSmith, president and CEO.

Since going public in November, CacheFlow has beaten analysts' earnings forecasts every quarter that there has been a First Call consensus estimate.>