Acme Packet (Nasdaq: APKT) reported earnings on Oct. 25. Here are the numbers you need to know.

The 10-second takeaway
 For the quarter ended Sep. 30 (Q3), Acme Packet beat slightly on revenues and met expectations on earnings per share.

Compared to the prior-year quarter, revenue contracted and GAAP earnings per share dropped to a loss.

Margins shrank across the board.

Revenue details
 Acme Packet notched revenue of $65.3 million. The 22 analysts polled by S&P Capital IQ looked for sales of $64.4 million on the same basis. GAAP reported sales were 7.5% lower than the prior-year quarter's $70.6 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
 EPS came in at $0.07. The 22 earnings estimates compiled by S&P Capital IQ predicted $0.07 per share. GAAP EPS were -$0.08 for Q3 compared to $0.11 per share for the prior-year quarter.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Margin details
 For the quarter, gross margin was 78.8%, 450 basis points worse than the prior-year quarter. Operating margin was -10.2%, 2,850 basis points worse than the prior-year quarter. Net margin was -8.4%, 1,960 basis points worse than the prior-year quarter.

Looking ahead
 Next quarter's average estimate for revenue is $69.2 million. On the bottom line, the average EPS estimate is $0.09.

Next year's average estimate for revenue is $271.5 million. The average EPS estimate is $0.47.

Investor sentiment
 The stock has a three-star rating (out of five) at Motley Fool CAPS, with 482 members out of 556 rating the stock outperform, and 74 members rating it underperform. Among 135 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 121 give Acme Packet a green thumbs-up, and 14 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Acme Packet is hold, with an average price target of $16.91.

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