- ChinaCache's (CCIH -11.4%) Q1 revenue of $52.1M beat guidance of $50.1M-$50.9M. Q2 guidance is for revenue of $54.7M-$55.5M.
- At the same time, gross margin (closely watched) fell to 30.5% from 31.7% in Q4 and 31.1% a year ago. On the CC (transcript), ChinaCache noted higher equipment depreciation/migration expenses offset lower bandwidth/colocation spend (as a % of revenue).
- The company mentioned cost controls are expected to keep a lid on opex over the near-term, but added capex will "continually increase" over the next two quarters due to investments in a new resource management system. It's expected to return to a level of ~10% of revenue afterwards.
- A partnership with China Telecom isn't expected to boost Q2 sales, but might have an impact in Q3. Surging Chinese mobile data traffic (boosted by 4G network rollouts) is expected to provide a 2H lift.
- Q1 results, PR
Are you Bullish or Bearish on ?
Results for ()
Thanks for sharing your thoughts.
From other sites
at CNBC.com (Jun 10, 2011)
at CNBC.com (Jan 28, 2011)
at MarketWatch.com (Dec 15, 2010)
at MarketWatch.com (Dec 9, 2010)
at MarketWatch.com (Dec 8, 2010)
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs