Mitel CEO Rich McBee said the “heavy lifting” of absorbing ShoreTel is “well advanced” and that he now expects to see $75 million in cost savings by combining the two organizations within two years.
The three-month period that ended Dec. 31 was Mitel’s first full quarter following the acquisition. It reported revenues of $356 million, up 37 per cent year-over-year.
The firm reported an adjusted profit of $33.1 million, up from $27.3 million a year earlier.
Despite the large stock price plunge, Thursday’s losses failed to fully erode the gains in Mitel’s share price recorded since mid-February. On the Toronto Stock Exchange, Mitel shares rose from $10.43 on Feb. 12 to $11.70 on Feb. 21.
The company’s shares were down 9.1 per cent, or $1.06, to $10.64 on Thursday.