TEMPE, Ariz.--(BUSINESS WIRE)--
Limelight Networks, Inc. (NASDAQ:LLNW) (Limelight), a leading provider
of edge cloud services, today updated its financial expectations for the
full year 2018 and also issued guidance 2019.
Based on current conditions, Limelight expects the following financial
results for 2018:
-
Revenue between $195 and $196 million
-
GAAP earnings of between $0.08 and $0.09
-
Includes a one-time $0.12 gain for settlement and patent license
income
-
Non-GAAP earnings per share between $0.10 and $0.11 per share
-
Adjusted EBITDA between $30 and $32 million
-
Capital Expenditures between $15-17 million
Limelight also expects the following financial results for 2019:
-
Revenue between $220 and $225 million
-
GAAP earnings of between $0.02 and $0.07
-
Non-GAAP earnings per share between $0.15 and $0.20 per share
-
Adjusted EBITDA between than $35 and 40 million
-
Capital Expenditures between $20 and 24 million
“Earlier this year, we made the decision to move forward with a
video-centric strategy, which led to foregoing certain sources of
revenue to focus on more robust, faster-growing opportunities better
aligned with our long-term goals. We also underwent periodic repricing
of certain major accounts, from which we expect disproportionately
positive revenue growth in 2019. Thus, we are revising our expectations
for 2018,” said Bob Lento, Limelight’s Chief Executive Officer. “At the
same time, we are increasingly confident regarding our outlook, as
demonstrated by our positive 2019 guidance.
“Traffic volumes continue to grow in our core business — we’ve seen
significant strengthening in late 4Q that we expect to carry into early
2019. We’re engaged with several large US broadcasters, and expect to
generate substantial revenues from this group in 2019. Strategically,
the low-latency video streaming business is seeing such high demand that
we have committed to double our capacity for this product. We believe
the Ericsson
initiative will contribute meaningfully towards our 2019 revenue and
margin goals in the second half of 2019. We will also shortly publish an
executive leadership announcement for our edge initiative, which we
believe will further fuel our growth. We are investing in our business
because we are emboldened by the opportunity. All of these factors
together form the foundation for 2019 guidance of revenue growth in low
teens, improving earnings before one-time items, cash generation, and
only a moderate increases in capital expenditures,” Lento added.
Forward-Looking Statements
This press release contains forward-looking statements that involve
risks and uncertainties. These statements include, among others,
statements regarding our strategic focus; our expectations regarding
revenues for the full year 2018 and 2019; gross margin, non-GAAP net
income (loss) and capital expenditures for the full year 2018 and 2019;
traffic volumes, our future prospects; and our position in our industry.
Our expectations and beliefs regarding these matters may not
materialize. The potential risks and uncertainties that could cause
actual results or outcomes to differ materially from the results or
outcomes predicted include, among other things, reduction of demand for
our services from new or existing customers, unforeseen changes in our
hiring patterns, adverse outcomes in litigation, and experiencing
expenses that exceed our expectations. A detailed discussion of these
factors and other risks that affect our business is contained in our SEC
filings, including our most recent reports on Forms 10-K and 10-Q,
particularly under the heading “Risk Factors.” Copies of these filings
are available online on our investor relations website at www.investors.limelightnetworks.com
and on the SEC website at www.SEC.gov.
All information provided in this release is as of December 13, 2017, and
we undertake no duty to update this information in light of new
information or future events, unless required by law.
About Limelight
Limelight Networks, Inc. (NASDAQ: LLNW), a leading provider of digital
content delivery, video, cloud security, and edge computing services,
empowers customers to provide exceptional digital experiences.
Limelight’s edge services platform includes a unique combination of
global private infrastructure, intelligent software, and expert
support services that enable current and future workflows. For more
information, visit www.limelight.com,
follow us on Twitter,
Facebook,
and LinkedIn.
Copyright (C) 2018 Limelight Networks, Inc. All rights reserved. All
product or service names are the property of their respective owners.

View source version on businesswire.com: https://www.businesswire.com/news/home/20181212005822/en/
Limelight Networks, Inc.
Sajid Malhotra, 602-850-5778
ir@llnw.com
Source: Limelight Networks