CacheFlow Inc. (Nasdaq: CFLO) posted a smaller-than-expected loss in its third quarter Wednesday, losing $7.2 million, or 24 cents a share, on sales of $8 million.
First Call consensus expected the Internet caching appliance developer to lose 29 cents a share in the quarter.
Ahead of the earnings report, CacheFlow shares closed up 12 9/16, or 12 percent, to 117.
Including stock compensation, CacheFlow posted a loss of $17.8 million, or 59 cents a share, in the quarter.
"The past quarter was an exciting one for the company," said CEO Brian NeSmith in a prepared release. CacheFlow President and CEO. "Not only did we add over 50 new customers during the quarter bringing our total to more than 200, but we also saw continued strong contribution from our installed base with approximately 70 percent of revenue coming from existing customers."
In the year-ago quarter, CacheFlow lost $1.9 million, or 12 cents a share, on sales of $2.2 million.
Last quarter, CacheFlow posted a loss of $5.3 million, or 22 cents a share, on sales of $4.8 million.
Its shares hustled up to a 52-week high of 182 3/16 in December before falling to a low of 83 in January.
All three analysts tracking the stock maintain either a "buy" or "strong buy" recommendation.
First Call consensus expects CacheFlow to lose 93 cents a share in fiscal 2000.
Among other technology companies reporting earnings Wednesday:
There was no First Call consensus estimate for PurchasePro.com this quarter.
Its shares closed up 13 3/4, or 12 percent, to 133 1/4.
The $2.7 million in sales represents a 318 percent improvement from the year-ago quarter when it lost $1.8 million, or 15 cents a share, on sales of $600,000.
For the year, PurchasePro.com lost $16 million, or 94 cents a share, on sales of $6 million compared to a loss of $6.8 million, or 49 cents a share, on sales of $1.7 million in fiscal 1998.
In the quarter, gross profit margins improved to 90 percent, up from 83 percent in the year-ago quarter.
"We are very pleased with our fourth quarter and fiscal year end results," said CEO Charles Johnson in a prepared release. "We continue to grow and increase the power of our network, further demonstrating our ability to capture the mass market."
Its shares peaked at 175 in December after falling to a low of 14 5/8 in September.