In a sign of possible recovery, Radvision revises 4Q numbers upward

Record sales of its video endpoints and stronger than expected infrastructure sales have prompted telepresence company Radvision (Nasdaq: RVSN), which has struggled over the past several quarters, to revise its fourth quarter results upward this week.

The company, which is based in Israel, upped its revenue forecast for the quarter to between $21.5 million and $22 million, a significant bump from the $18 million it forecast Oct. 27.

Radvision said the improved numbers also led it to revise its forecast of the net loss for the fourth quarter to between 25-28 cents per diluted share on a GAAP basis, and 18-21 cents per diluted share on a non-GAAP basis. That's down from its earlier forecast for a net loss of approximately 37 cents per diluted share on a GAAP basis and 31 cents per diluted share on a non-GAAP basis. 

Radvision said it expected its Video Business Unit to see sales of $18 million to $18.5 million versus its forecast of $14 million. Its Technology Business Unit sales are expected to approximate $3.5 to $4 million.

"Our improved forecast for the fourth quarter... is a welcome indication that our effort to transform Radvision into an end-to-end video conferencing provider is taking effect." Boaz Raviv, the company's CEO, said Radvision saw sequential improvement in each of its regions in the quarter.

The company will report final results for the fourth quarter of 2011 on Feb. 8.

The positive revision is the first time in the past four quarters that the company has delivered that kind of news. In each of the past three quarters Radvision has been forced to lower guidance.

The company is trying to establish itself as a competitor with the likes of Cisco (Nasdaq: CSCO) and Polycom (Nasdaq: PLCM), but it has struggled, especially in the North American market.

The company's revenue was hit hard when Cisco bought telepresence company Tandberg. Before the sale, Radvison had been a major technology partner with the networking company, and sales to Cisco, at one time, made up about 40 percent of Radvision's revenues.

Radvision has been pushing hard, building out its sales and marketing infrastructure and working to gain reseller and customer attention.

For more:
- see this release

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