* Q2 adj EPS C$0.02 vs est C$0.01 - Thomson Reuters I/B/E/S
* Q2 revenue up 47 pct
* Shares down as much as 11 pct (Recasts, adds details, analyst comments, stock movement)
By Koustav Samanta
BANGALORE, July 8 (Reuters) - Canadian network equipment maker Sandvine Corp (SVC.TO) posted a quarterly profit that beat market estimates, helped by lower expenses, but said bookings during the quarter were low, sending its shares down as much as 11 percent.
An analyst, who did not want to be named, told Reuters the company's quarterly earnings would have been lower, had it not received a C$3.2 million funding from Ontario's Next Generation of Jobs Fund, which is another probable reason for the downward sentiment among investors.
The Next Generation of Jobs Fund is a five-year, C$1.15 billion government plan to help environmental-friendly companies grow and create jobs in Ontario.
Sandvine said it expects funding of C$600,000 to C$700,000 per quarter from the program till February 2014, lower than what they got during the second quarter.
The products of the company, which help broadband and telecom operators manage data traffic, combine hardware and software to identify and monitor specific types of traffic across networks.
In the second quarter, Sandvine launched its Network Data Analytics product, a software that provides network-wide visibility in the form of workable data and analysis to help customers better manage their network and services.
"It will help them win businesses with wireless carriers that want to provide different types of services for smartphone users," CIBC World Markets analyst Todd Coupland told Reuters.
Coupland, who has a "sector outperformer" rating on the stock, said Sandvine's analysis on smartphone customer flows will allow wireless carriers to develop and shape specific categories of programs for all new smartphone customers.
For the second quarter, the company reported net income of C$2 million, or 1.4 Canadian cents a share, compared with a loss of C$5.6 million, or 4.2 Canadian cents a share, a year earlier.
The company posted adjusted earnings of 2.6 Canadian cents a share.
Revenue rose 47 percent to C$22.4 million.
Analysts on average were expecting earnings of 1 Canadian cent a share, before special items, on revenue of C$22.4 million, according to Thomson Reuters I/B/E/S.
The company said digital subscriber line (DSL) and mobile markets, each contributed 40 percent of its quarterly revenue, while the cable market contributed the rest.
Sandvine, which has over 190 service provider customers in over 80 countries, said it added nine new customers in the quarter, out of which four are from North America, three from EMEA and one each from Asia Pacific and Caribbean and Latin America.
The company's expenses fell 15 percent to C$14.7 million in the quarter.
Shares of the Waterloo, Ontario-based company were down 9.4 percent, or 19 Canadian cents, at C$1.84 in afternoon trade Thursday on the Toronto Stock Exchange. (Reporting by Koustav Samanta in Bangalore; Editing by Anne Pallivathuckal and Vyas Mohan)