VANCOUVER, British Columbia-Investors cheered Sierra Wireless Inc.’s upgraded first-quarter forecast, sending the company’s stock up almost 13 percent to $40.72 per share. Sierra said strong sales of its wireless PC cards and embedded modules for mobile phones contributed to the company’s positive quarter and helped to double its net earnings.
“We are pleased to raise our first-quarter guidance as a result of stronger-than-expected demand and operating results across key product lines, including AirCards and embedded modules,” said David Sutcliffe, the company’s chairman and chief executive officer. “We continue to focus on profitable growth.”
Sierra increased its revenue expectations from between $35 million to $37 million to more than $40 million. The company said its net earnings will clock in around $3 million, or 12 cents per share, double the $1.5 million it previously expected. Cash flow is expected to be positive rather than neutral.
The company, which recently announced it plans to enter the mobile-phone market with its Voq smart phone, will announce its first-quarter earnings April 22.
