Suresh,
Partial CNXT conference call notes with focus on wireless:
Rev up 6 percent Q-Q, 40 percent Y-Y
Network Access products up 88 percent y-y , 24 percent q-q
wireless impacted by CDMA Power amp and RF ic's push outs, only saw in push out in orders starting in June
CDMA push outs due to removal of sibsidies for hardsets in Korea by carriers
Gross margin at 47 percent, 1/2 percent increase due to network access products
Design wins with COM, ADCT, ALA, NOK, JNPR, RBAK Zone???
expect to have shiped 2 million ports of xDSL products by end of year, wins with ADCT, NT, CMNT, Netopia, Flowpoint
Expect to sales of 1 billion before next year end
Wirelesss up 30 percent y-y , below expectations, expect slow down to last 3 to 6 months, GSM sales were strong though and was TDMA
Digital Enteretainment up 48 percent y-y, short fall in segment due to capacity constraints on the test side, segment 5 million short of expectation
Seeing ramping MMDS products for trials only so far, wins at Viao, ADCT, NT
Sprint and WCOM trial started in MMDS
IDC projects a 10 million subscribers of MMDS over next few years
Cable modems wins with Hughes, CSCO, Panasonic
Personal Computing up 3 percent q-q, 19 percent y-y
Tax rate 30 percent
249 nil shares out in Q
cash 863 mil, down 63 mil
Cap Ex 71 mil
DSO's 58 days due to slaes laters in Q
guidance for DSO's 50-55 days
greater than 60 day receivables less than 2 percent
Guidance going forward 5 percent q-q, gross margin 46 to 47 percent, 2 percent higher R&D expenses due to acquisitions, decline in operating margins by 10 percent due to investment in R&D, expect income to grow faster than revenue.
Expect Wireless CDMA revenues to decline 25 to 30 percent next Q, 25 to 30 percent next Q after , no re-bound next Q, possilbe bottom of problems next Q but don't know for sure, non-CDMA growth 40 percent q-q, expect modest growth in wireless due to GSM and TDMA, GSM strong with 150 million annual run rate, Q3 GSM 35 percent of wireles revenue, previous Q 15 percent
Modest presence in CDMA outside of Korea, MOT and NOK design wins in North America, No Koycera bisness, expect GSM to be same of larger than CDMA next Q, TDMA ramping now, expect strong growth, Most of sales are in Korea.
Growing share in North American CDMA market, trial with NOK for GSM chipset, expect to be in ERIC T28?design , expect follow on design wins in ERIC
80 percent of wireless sales were in Cellular, 35 percent GSM, 40 percent CDMA
wireless in fiscal 2001 expect to grow 50 percent Y-Y, Q4 will be flat, expect decline in CDMA in Q, September should be start of a strong Q
share count increase will be 6 percent due to acquistions in Q
WAN transport sales grew 30 percent q-q, more design wins, expect win in ALA, CSCL, NT
In wireless access: 40 percent WanTransport, 40 percent MPLS, 20 percent broadband
Includes T1/E1/ATM/Optical
MOT GSM expected to ship in next Q
Expect WAN transport and Broadband to grow faster than MPLS
gross margin should grow due to Network Access segment |
