Akamai (NSDQ: AKAM), the big CDN, reported its Q208 results today, and its revenue and net income is up for the quarter. Revenues were $194.0 million, a 27 percent increase over Q207 of $152.7 million, and a four percent increase over Q108. The net income was $34.3 million, up from $21.6 million in the year-ago quarter, and down from $36.9 million it reported in Q108. The number of customers under long-term services contracts at the end Q208 increased by 53 to 2,725. More in earnings report, here.
The company missed analyst estimates…Analysts polled by Reuters Estimates expected $196.6 million in revenues for the quarter. The stock is down about 20 percent in after-hours trading. From tthe conference call, picked up by Contentinople: CEO Paul Sagan said the economic climate had “changed significantly from even just a few quarters ago,” and that the growth in media and entertainment has moderated.
From the earnings call transcript, some media trends Akamai is seeing:
— In the media space, while our clients continue to develop higher quality video initiatives, we are not expecting this trend to impact the back half of 2008 significantly enough to offset the pressure from the general economic environment.
— We are seeing is that [the media companies] are just not seeing the pace of growth of traffic that they had experienced say on average couple of years ago.
— Olympics streaming: We work with the EBU to deliver the Olympics across the European continent. We
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