HOD HASHARON, Israel, May 5, 2015 /PRNewswire/ -- Allot Communications Ltd. (NASDAQ: ALLT), a leading supplier of service optimization and revenue generation solutions for fixed and mobile broadband operators and cloud providers worldwide, today announced its first quarter 2015 results, with non-GAAP revenues reaching $29.5 million.

Q1 2015 – Financial Highlights:

• Non-GAAP Revenues were $29.5 million, up 4.4% year over year
• Non-GAAP Gross Margin reached 76%
• Non-GAAP Operating Margin was 10%
• Book-to-bill was below one
• The Company generated $2.1 million of Operating Cash Flow
• Net Cash as of March 31, 2015 totaled $123.8 million

Financial results:

On a GAAP basis, total revenues for the first quarter of 2015 were $29.5 million compared to $30.6 million of revenue reported for the fourth quarter of 2014 and $28.3 million of revenue reported for the first quarter of 2014. Net loss for the first quarter of 2015 was zero, or $0.00 per basic and diluted share. This compares with a net loss of $2.3 million, or $0.07 per basic and diluted share, in the fourth quarter of 2014 and a net loss of $0.4 million, or $0.01 per basic and diluted share, in the first quarter of 2014.

On a non-GAAP basis, total revenues for the first quarter of 2015 reached $29.5 million, compared with $30.6 million of revenue reported for the fourth quarter of 2014 and $28.3 million of revenue reported for the first quarter of 2014. On a non-GAAP basis, net income for the first quarter of 2015 was $2.9 million, or $0.09 per basic share and diluted share. This compares with non-GAAP net income of $3.4 million, or $0.10 per basic and diluted share, in the fourth quarter of 2014 and non-GAAP net income of $2.1 million, or $0.06 per basic and diluted share, in the first quarter of 2014.

Q1 2015 - Key Achievements:

• During Q1 2015, 18 large orders were received, 3 of which were from new customers
• 8 of the large orders came from mobile-service providers and 8 were from fixed-line service providers
• In addition, 2 large orders were received for private and public cloud deployments
• Allot completed the acquisition of Optenet during the first quarter. The impact over the first quarter results was immaterial.
• Allot launched SmartEngage which enables mobile operators to increase subscriber service uptake.
• Received four orders from Tier-1 operators to enable delivery of Security-as-a-Service and Comply with Regulation.

"During the first quarter we completed the acquisition of Optenet, a global leader in the field of Security-as-a-Service. We believe that the acquisition will significantly enhance our security offering and support future growth opportunities," said Andrei Elefant, President & CEO of Allot Communications. "We continued to improve our margins in the first quarter, expend our customer base and increase our market share. Security and monetization remained top performers within our VAS offering and we continue to view these two segments as key growth engines to our future growth."

Conference Call & Webcast:

The Allot management team will host a conference call to discuss first quarter 2015 earnings results today at 8:30 AM ET, 3:30 p.m. Israel time. To access the conference call, please dial one of the following numbers: US: +1646 254 3361, UK: +44(0)2034271906, Israel: +97237219510, participant code 6727250.

A replay of the conference call will be available from 12:00 AM ET on May 6 2015 for 30 days. To access the replay, please dial: US: +1 347 366 9565; UK: +44(0)2034270598, access code: 6727250. A live webcast of the conference call can be accessed on the Allot Communications website at www.allot.com. The webcast also will be archived on the website following the conference call.

About Allot Communications

Allot Communications Ltd. (NASDAQ, TASE: ALLT) empowers service providers to monetize and optimize their networks, enterprises to enhance productivity and consumers to enjoy an always-on digital lifestyle. Allot's advanced DPI-based broadband solutions identify and leverage network intelligence to analyze, protect, improve and enrich mobile, fixed and cloud service delivery and user experience. Allot's unique blend of innovative technology, proven know-how and collaborative approach to industry standards and partnerships enables network operators worldwide to elevate their role in the digital lifestyle ecosystem and to open the door to a wealth of new business opportunities. For more information, please visit www.allot.com.

GAAP to Non-GAAP Reconciliation:

The difference between GAAP and non-GAAP revenues is related to the acquisitions made by the Company and represents revenues adjusted for the impact of the fair value adjustment to acquired deferred revenue related to purchase accounting. Non-GAAP net income is defined as GAAP net income after including deferred revenues related to the fair value adjustment resulting from purchase accounting and excluding stock-based compensation expenses, amortization of acquisition-related intangible assets, regulatory matter expenses, acquisition-related expenses and restructuring costs.

These non-GAAP measures should be considered in addition to, and not as a substitute for, comparable GAAP measures. The non-GAAP results and a full reconciliation between GAAP and non-GAAP results are provided in the accompanying Table 2. The Company provides these non-GAAP financial measures because it believes they present a better measure of the Company's core business and management uses the non-GAAP measures internally to evaluate the Company's ongoing performance. Accordingly, the Company believes they are useful to investors in enhancing an understanding of the Company's operating performance.

Safe Harbor Statement

This release may contain forward-looking statements, which express the current beliefs and expectations of Company management. Such statements involve a number of known and unknown risks and uncertainties that could cause our future results, performance or achievements to differ significantly from the results, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences include risks relating to: our ability to compete successfully with other companies offering competing technologies; the loss of one or more significant customers; consolidation of, and strategic alliances by, our competitors, government regulation; lower demand for key value-added services; our ability to keep pace with advances in technology and to add new features and value-added services; managing lengthy sales cycles; operational risks associated with large projects; our dependence on third party channel partners for a material portion of our revenues; and other factors discussed under the heading "Risk Factors" in the Company's annual report on Form 20-F filed with the Securities and Exchange Commission. Forward-looking statements in this release are made pursuant to the safe harbor provisions contained in the Private Securities Litigation Reform Act of 1995. These forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Investor Relations Contact:

Rami RozenAVP Corporate DevelopmentInternational access code +972-52-569-4441[email protected]

Public Relations Contact:

Maya LustigDirector Corporate Communications International access code +972-54-677-8100 [email protected]

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SOURCE Allot Communications Ltd.