Tekelec reports solid third-quarter sales, profit

Tekelec posted another strong quarter as the Morrisville telecommunications gear company continues beating analyst expectations and defying the recession.

The company said this morning that third-quarter revenue from continuing operations rose to $114.9 million, up 8 percent from the previous year. Product orders also were up 8 percent.

Net income from continuing operations for July, August and September was $18.2 million, or 27 cents a share, a 42 percent increase over the same three-month period last year.

Tekelec has been virtually recession-proof because the company sells essential software that form the guts of the telecom system. Tekelec makes software that sets up and breaks down phone calls. It also makes software that allows for cell phone owners to use the same phone number when they switch to another phone or plan -- a feature called number portability that's increasingly required by governments around the world.

The company has about 300 customers worldwide, including AT&T, T-Mobile and Verizon Wireless, and employs about 1,100 people, including 675 at its headquarters in Morrisville.

The company's stock closed Tuesday at $15.25, up 25 cents.

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