(RTTNews) - Internet infrastructure service provider VeriSign Inc. (VRSN: News ), Thursday reported a profit for the third quarter, driven by strong performance of its core businesses. Quarterly non-GAAP earnings exceeded analysts' expectations by a penny, but missed revenue consensus.

The Mountain View, California-based company posted GAAP net income attributable to VeriSign and subsidiaries of $54 million or $0.28 per share for the third quarter, compared to a loss of $201 million or $1.03 per share in the prior year quarter.

Excluding items, non-GAAP net income attributable to VeriSign and subsidiaries grew to $64 million or $0.33 per share from $48 million or $0.25 per share in the year-ago quarter. On average, 18 analysts polled by Thomson Reuters expected the company to report earnings of $0.32 per share for the third quarter. Analysts' estimates typically exclude special items.

Income from continuing operations rose to $48.4 million or $0.24 per share from $42.3 million or $0.21 per share in the previous year quarter.

Third quarter revenues increased 5% to $258.0 million from $245.9 million in the same quarter last year. Seventeen analysts had a consensus revenue estimate of $258.79 million for the third quarter.

On a GAAP basis, VeriSign's segment revenue for Internet Infrastructure and Identity Services, or the "core" businesses of Naming Services and Authentication Services, grew 6% to $257 million for the third quarter of 2009.

VeriSign's core business, Internet Infrastructure and Identity Services, consists of Naming Services, and Authentication Services comprising of Business Authentication and User Authentication.
Revenue from discontinued operations was $41 million for the quarter. Revenues from core operations rose to $256.9 million from $241.3 million a year earlier.

VeriSign Naming Services ended the third quarter with about 94.9 million active domain names in the domain name base for .com and .net, representing a 6% increase year-over-year.

VeriSign Business Authentication Services, previously known as SSL Certificate Services, ended the quarter with 1.20 million SSL certificates in the installed base, representing a 9% growth over a year ago.

Total costs and expenses for the third quarter rose to $182.9 million from $178.8 million in the prior year quarter.

During the quarter, Syniverse Technologies (SVR) agreed to purchase VeriSign's messaging business for cash consideration of $175 million, subject to working capital adjustments.

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