Tuesday April 28, 11:30 pm Eastern Time
Read-Rite says industry bottomed in March
SAN FRANCISCO, April 28 (Reuters) - Read-Rite Corp president Alan Lowe
said that the disk drive industry bottomed in March, and he is still
confident that his company will see 10 to 20 percent sequential revenue
growth in the third quarter.
''I'm confident with our projections (that the company made on its
conference call with analysts),'' Lowe told a Hambrecht & Quist
Technology conference here. ''March was definitely the bottom.''
Lowe said that March was an ''ugly quarter'' for the disk drive
industry, referring to a quarter that has been fraught with a glut of
disk drive inventories, price cuts, financial losses and even layoffs at
some disk drive makers.
''The level of inventory among OEMs (original equipment manufacturers)
has been reduced,'' Lowe said.
In its fiscal second quarter, Read-Rite, a maker of recording heads and
head assemblies for disk drives, reported a net loss of $62.2 million
and revenues of $187.1 million, a 34 percent drop versus the year-ago
period. |
