Shares of wireless equipment maker Ceragon Networks Ltd. edged higher Tuesday even as the company reported broadening losses.
Ceragon Networks makes equipment used in high-capacity back-end networks that connect wireless towers to the Internet and other central telecommunications networks.
The company recorded $14.4 in charges from the acquisition of million charges related to the acquisition, announced this year, of Norway's Nera Networks AS in a $48.5 million deal.
"Overall Ceragon remains on track with the Nera integration, which should lead to significant benefits in 2012," said Jefferies & Co. analyst Peter Misek. "Also, our checks indicate that wireless backhaul remains one of the main bottlenecks for surging data traffic, and we believe Ceragon will be a key beneficiary."
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The company reported a net loss of $17.4 million, or 48 cents per share, on $110.4 million in revenue for the three months ended June 30. That compares with net income of $2.6 million, or 7 cents per shares, on $60.9 million in revenue for the same period a year earlier.
Excluding special items, Ceragon Networks reported a loss of 4 cents per share for the latest quarter. Wall Street on average had expected Ceragon Networks to report a loss of 3 cents per share excluding items on $106.3 million in revenue for the period.
Company shares rose 21 cents to $9.75 in midday trading Tuesday.