SONS ( $2.50-$2.75)PE -.80 Cap=550mil Networks Sales Dive, but Loss Narrows
By Diane Hess
Staff Reporter
04/09/2002 05:31 PM EDT
Sonus Networks (SONS:Nasdaq - news - commentary - research - analysis) reported a narrower loss in the latest first quarter, even as sales fell 49% from a year ago as a result of the continued decline in the telecommunications market.
On an adjusted basis, which excludes various items, Sonus lost $12.8 million, or 7 cents a share, compared with adjusted net income of $200,000 a year ago. The results were in line with the company's prior guidance and above consensus estimates for a loss of 9 cents a share.
Shares of Sonus Networks, a maker of switches used to help move voice traffic around the Internet, closed the regular session down 12 cents, or 4.4%, at $2.59. The stock added 2.3% in after-hours Instinet trading.
Sonus said revenue fell to $21.2 million from $41.5 million in the same quarter last year. The company's actual loss was $16.2 million, or 9 cents a share, vs. a loss of $82.5 million, or 51 cents a share, a year ago.
"The continued deterioration in the telecommunications market impacted our financial results for the quarter," Hassan Ahmed, the company's chief executive, said in a statement. "We continue to focus on the financial metrics of our company and preserving our financial strength."
Sonus said its second-quarter earnings and revenue will be basically flat with the first quarter, and the company plans to cut salaries 10%, companywide, in a bid to lower costs. |
