Lucent Posts Fourth Consecutive Quarterly Profit - InformationWeek

InformationWeek is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them.Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

IoT
IoT
Infrastructure

Lucent Posts Fourth Consecutive Quarterly Profit

It also raised its sales outlook, based on an improving telecom market.

MURRAY HILL, N.J. (AP) -- Telecommunications equipment maker Lucent Technologies Inc. swung into a profit in the third quarter, from a year-ago loss. The results, announced Wednesday, marked its fourth consecutive profitable quarter.

The company also raised its sales outlook, based on an improving telecommunications market.

The Murray Hill-based company had net income of $387 million, or 8 cents a share, for the three months ended June 30. That compared with a loss of $254 million, or 7 cents a share, last year.

Excluding 4 cents from certain items, the company earned four cents per share in the third quarter, double what analysts surveyed by Thomson First Call had anticipated.

Revenue for the April-June quarter was $2.19 billion, up 11.4 percent from the $1.96 billion recorded in the year-ago period..

Lucent recorded $986 million in revenue from wireless network gear, its biggest business, up 4 percent from the previous quarter and 58 percent from a year ago.

Gross margin for the third quarter was 43.2 percent, slightly better than the 42.8 percent in the second quarter and an improvement from the 29.2 percent in the 2003 third quarter.

The company said it now expects revenues to be up in the mid-single digits for the year.

Some analysts say the equipment sector is rebounding after three dismal years, In one boost for that segment, the company last week announced it had received a $5 billion contract from Verizon Wireless to supply equipment, software, and services to expand its wireless voice and data network.

For the nine months ending June 30, the company earned $793 million, or 17 cents a share, compared with a loss of $869 million, or 32 cents a share in the year-ago period. Lucent posted total revenues of $6.64 billion, up from $6.44 billion in 2003.

We welcome your comments on this topic on our social media channels, or [contact us directly] with questions about the site.
Comment  | 
Print  | 
More Insights
Commentary
Augmented Analytics Drives Next Wave of AI, Machine Learning, BI
Jessica Davis, Senior Editor, Enterprise Apps,  3/19/2020
Slideshows
How Startup Innovation Can Help Enterprises Face COVID-19
Joao-Pierre S. Ruth, Senior Writer,  3/24/2020
Commentary
Enterprise Guide to Robotic Process Automation
Cathleen Gagne, Managing Editor, InformationWeek,  3/23/2020
White Papers
Register for InformationWeek Newsletters
State of the Cloud
State of the Cloud
Cloud has drastically changed how IT organizations consume and deploy services in the digital age. This research report will delve into public, private and hybrid cloud adoption trends, with a special focus on infrastructure as a service and its role in the enterprise. Find out the challenges organizations are experiencing, and the technologies and strategies they are using to manage and mitigate those challenges today.
Video
Current Issue
IT Careers: Tech Drives Constant Change
Advances in information technology and management concepts mean that IT professionals must update their skill sets, even their career goals on an almost yearly basis. In this IT Trend Report, experts share advice on how IT pros can keep up with this every-changing job market. Read it today!
Slideshows
Flash Poll