Sierra Wireless's reduced profit matches forecasts
biz.yahoo.com
(UPDATE: Figures in U.S. dollars unless noted)
TORONTO, April 18 (Reuters) - Sierra Wireless Inc. (Toronto:SW.TO - news) (NasdaqNM:SWIR - news), a maker of
wireless communication devices for portable computers, posted first quarter earnings on Wednesday that matched its
lowered forecasts, saying it had exercised caution in selling to credit-risky customers.
Sierra said earnings for its first quarter, ended March 31, rose
to $732,000, or 4 cents a diluted share, up from a year-earlier
loss of $1.3 million, or 9 cents a share. Earnings per basic share
were 5 cents in the first quarter.
Revenues in the quarter rose to $22.4 million, up 225 percent
from $6.9 million in the same quarter of 2000, while gross
margins as a percentage of revenue were 41 percent.
The results matched guidance given by the company at the
beginning of April.
``We enter this more challenging economic period with a strong
business model and a strong balance sheet; our primary
objective is to continue to grow the business, profitably,'' said
David Sutcliffe, Sierra Wireless chief executive.
Shares of Sierra have more than doubled since the revised guidance, and closed up 12 percent, or C$4.30, at C$40.05
on Wednesday on the Toronto Stock Exchange. The shares have traded in a 52-week range of C$18.50 to C$122.00.
On Nasdaq the shares rose $2.72 to $25.22 in a strong day for technology stocks with the Nasdaq Composite Index,
which was up 8 percent after a surprise U.S. interest rate cut.
($1 equals $1.56 Canadian) |
