RALEIGH – Investors gave Bandwidth a post-IPO bounce of 10 percent Wednesday.

The communications provider Bandwidth reported net earnings of $1.4 million, or 11 cents per share, and an increase in year-over-year revenue for the third quarter ending Sept. 30. The earnings topped analysts’ expectations of 3 cents per share as cited by Zacks Research.

Barron’s reported that analysts had expected $40.8 million in revenue and a 9 cent per share profit.

The earnings news sent Bandwidth shares above $23. It also set the stage for CEO David Morken’s conference call with Wall Street analysts that drew a high-profile crowd. Morken had plenty of good news to discuss.

Revenue for the fourth quarter is estimated by Bandwidth to increase slightly over the third quarter, from $41.4 million to $41.9 million, with a slight profit. Analysts had earlier predicted slightly lower figures and a 2-cent per share loss.

The report was the first for Bandwidth (Nasdaq: BAND) as a public company. It executed a $74 million IPO in November.

“During the third quarter, we continued to benefit from growing enterprise demand to embed voice and messaging into software applications,” said Morken in a statement.

Bandwidth branding

“We believe we are at the early stages of voice becoming the next major user interface, and Bandwidth stands to play a key enabling role as this market shift plays out over the next decade.

“The unique combination of our API platform and all IP network continues to resonate with enterprise customers, and it positions us well to capitalize on the multi-billion dollar market opportunity ahead of us.”

Bandwidth shares jumped more than 6 percent Wednesday to close at $21.55.

Since the IPO, Bandwidth shares have ranged from $18.05 to $24.79. Its IPO priced at $20 per share.

“The recent completion of our initial public offering was an important milestone for our company,” Morken noted. “It further increases the market’s awareness of Bandwidth and provides additional resources to execute our growth strategy.”

Revenues for the quarter reached $41.3 million, up from $38.6 million a year ago.