After Hour Trading Pops Following Juniper Earnings Release

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    NEWSLETTERS

    TK
    AP
    The Dow is down 83 points, or 1 percent, at 7,887. The Standard & Poor's 500 index is down 6, or 0.8 percent, at 844. The Nasdaq composite index is up 2, or 0.1 percent, at 1,646.

    Network equipment maker Juniper Networks Inc. said Thursday preliminary results showed it posted a $4.5 million net loss in the first quarter, a big drop from a year earlier as revenue sank and the company booked a big charge because of tax law changes.

    Juniper shares jumped over $20 a share in after-hour trading. Experts say that is because the company said it saw stability in the tech spending market.
         
    Back to the earnings: Juniper lost a penny per share, compared to net income of $110.4 million, or 20 cents per share, in the first quarter a year earlier.

    Revenue in the quarter to March 31 fell 7 percent to $764.2 million from $822.9 million.

    The loss in the recent quarter included a one-time charge of $61.8 million, or 12 cents per share, related to changes in California tax law.

    The company said its adjusted net income was $91.6 million, or 17 cents per share.

    That was in line with the expectations of analysts polled by Thomson Reuters, who predicted earnings of 17 cents per share on $764.4 million in revenue.

    Juniper said its revenue and operating margins were consistent with preliminary results announced earlier in April.

    Juniper shares, which closed up 47 cents, or 2.5 percent, at $19.26, rose another $1.34, or 7 percent, to $20.60 in aftermarket trading.