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Technology Stocks : Westell WSTL -- Ignore unavailable to you. Want to Upgrade?

To: royal heinz who wrote (16718)	7/22/1999 4:42:00 PM
From: Skiawal	Read Replies (1) \| Respond to of 21342

Westell Technologies Q1 Dil Shr Loss $0.09 Vs Loss $0.18 biz.yahoo.com WOW...beat street by .03...Last qtr was (.21)...Reduced losses by .12/shr....At this rate WSTL will be showing a profit by next qtr... NICE JOB! biz.yahoo.com Westell Reports First Quarter Fiscal 2000 Results Sequential Improvements Continue, Losses Narrow and Service Revenue Climbs Again AURORA, Ill., July 22 /PRNewswire/ -- Westell Technologies, Inc. (Nasdaq: WSTL - news) today announced results for its fiscal first quarter ending June 30, 1999. For the three months ending June 30, 1999, the net loss per common share was 9 cents per share representing an improvement from per share losses of 23 cents, 26 cents and 28 cents per share in the prior three quarters. For the same period last year, net loss was 18 cents per share. The operating loss of $3.0 million in the quarter ended June 30, 1999 compares to a loss of $7.0 million in the same quarter last year and a loss of $7.9 million in the March 31, 1999 quarter. Operating expense decreased $3.4 million or 24.2% over the same quarter last year and decreased $4.6 million or 30.6% over the quarter ended March 31, 1999. Gross margins for the quarter were 31.1% marking sequential improvement from 30.1%, 26.0% and 20.3% in the prior three quarters. For the same period last year, gross margin was 30.0%. Cost reductions efforts continue throughout the Company while DSL pricing is expected to remain highly competitive. Total revenues were a record $24.2 million, a 5.0% increase over revenues of $23.0 million in the same period last year. Service revenue for the quarter increased 50.7%, over the comparable quarter last year, to $7.0 million. Product revenue for the quarter decreased 6.5%, from the comparable quarter last year, to $17.2 million. In order to more accurately reflect the current business model, product revenue is now classified as: Customer Premise Equipment (CPE) that includes WireSpeed(TM) DSL modems, Transport Systems such as the Lucent LinkReach® solution and Westell Supervision® DSLAM, and High Capacity Products (HiCAP) that include our PROACT(TM) Network Interface Units, rather than DS0, DS1 and DSL. Each group showed slight declines in revenue relative to the same period last year with CPE down thirteen thousand dollars or 1.1%, the Transport Systems Group declining four hundred and sixty five thousand dollars or 17.5%, and HiCAP products falling seven hundred and twenty thousand dollars or 5.0%. ''The results from this quarter exemplify the strategies and messages we have been communicating over the last several months,'' remarked Nicholas Hindman, Westell CFO. ''Our loss narrowed by over 60% from the previous quarter. Total sales increased slightly, consistent with our expectations. Our improved mix or 'quality' of total revenue offset modest declines in product revenues. This improved mix is reflected in our gross margins that continue to increase. Service revenue increased in line with our belief that Conference Plus, Inc. will achieve 50% revenue growth in FY2000 from FY 1999 revenue levels. Operating expenses declined by 31% over last quarter as we continue to be rigorous in our efforts to reduce expenses.'' Westell Technologies, Inc, headquartered in Aurora, Illinois, is a holding company for Westell, Inc. and Conference Plus, Inc. Westell, Inc. manufactures and licenses DSL systems and value added Customer Premise Equipment such as DSL modems, and manufactures telecommunications products designed to monitor and enhance special telecommunications and data communications circuits. Conference Plus, Inc. is a multi-point telecommunications service bureau specializing in audio teleconferencing, multi-point video conferencing, broadcast fax, and IP multimedia conferencing services. Additional information can be obtained by visiting Westell's Web site at westell.com .