CA boosts outlook, buys Torokina Networks

CA reported solid third quarter earnings, raised is fiscal year outlook and acquired privately held Torokina Networks to target mobile carriers.

Torokina, based in Sydney, Australia, provides assurance management software to carriers offering 3G, 4G and Long Term Evolution (LTE) networks. CA said Torokina will allow it to better monitor both internal and external networks at carriers.

Terms of the deal weren't disclosed.

Separately, CA reported fiscal third quarter earnings of $200 million, or 39 cents a share, on revenue of $1.16 billion, up 4 percent from a year ago. Non-GAAP earnings were 51 cents a share. Wall Street was looking for earnings of 49 cents a share on revenue of $1.14 billion.

CA CEO Bill McCracken said in a statement that the company is focused on cloud computing and virtualization. CA feels "very good about where we are both from a strategic standpoint and our ability to reach our financial objectives."

For fiscal 2011, CA said it is expecting revenue growth of 4 percent to 5 percent, up from the previous range of 3 percent to 5 percent. Net income will be between $1.57 a share to $1.67 a share. Non-GAAP fiscal 2011 earnings will be in the range of $1.88 a share to $1.98 a share. Wall Street was looking for $1.93 a share.