Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Nortel Networks (NT) -- Ignore unavailable to you. Want to Upgrade?

To: Bosco who wrote (9435)	1/24/2001 4:21:06 PM
From: The Phoenix	Read Replies (1) \| Respond to of 14638

Get ready to take profits... Wednesday January 24, 4:21 pm Eastern Time Corning sees softness in telecoms market in Q1 (UPDATE: Adds details, paragraphs 1, 4-5) NEW YORK, Jan 24 (Reuters) - Corning Inc. (NYSE:GLW - news), the world's biggest maker of fiber-optic cable, said on Wednesday its fourth-quarter profits more than doubled, but warned that the overall telecommunications market may experience softness in the first quarter. Corning said fourth-quarter pro forma profits rose to $314.6 million, or 34 cents a share, compared with $142.2 million, or 18 cents a share a year ago. Wall Street had expected the company to earn 28 cents a share, according to research firm First Call/Thomson Financial. Revenues soared 52 percent to $2.1 billion. The quarterly results exceeded the company's recent guidance and reflected the insatiable demand for fiber cable, the backbone of telecommunications and the Internet. Citing ``softness'' in the telecommunications market, Corning widened its first-quarter earnings guidance to a range of 28 cents to 31 cents a share, compared with the previous guidance of 29 to 30 cents a share. It also said its optical fiber and photonics customers had indicated that their order rate may be lower-than-expected in the first half of the year. Shares of Corning closed at $70-1/4, up 1/4, on the New York Stock Exchange before the announcement. It has gained nearly 64 percent in the past year and outperformed the Standard & Poor's 500 index by about 77 percent. Optical equipment stocks were one of the few sectors to buck the broad sell-off in technology stocks last year.

To: Bosco who wrote (9435)	1/25/2001 11:10:39 AM
From: Harry J.	Read Replies (1) \| Respond to of 14638

Ian, tcg, Ken, etc. re: broadband & DSL -- I once owned Westell (which we called Westhell)<WSTL> while awaiting the fulfillment of the promise of DSL technology. I got tired of waiting. I'm also really long in Qwest<Q>. Comments similar to the comments in Q's latest PR on its Qtrly results are also why I bought NT when it first dropped to $40US last and why I have added to it. I snipped huge chunks of the PR, but the ones I reprinted below relate to comments you all and others have made on broadband capacity and DSL lately. Thought you'd like to see these broadband and DSL growth rates even though the discussion focuses on Q instead of NT since, if Qwest is expanding in areas favorable to the use of NT products, Qwest's competitors are. My gratuitous asides are in brackets (you know, [ ]). Feel free to take issue with what you see here, especially if you think it's wrong. The object is to ensure we have good info on which to base our opinions. Regards, Harry J. ==== DENVER, Jan 24, 2001 /PRNewswire via COMTEX/ -- Qwest Communications International Inc. (NYSE: Q chart, msgs), the broadband Internet communications company, today announced record revenue and earnings before interest, taxes, depreciation and amortization (EBITDA) for the fourth quarter and full-year 2000. Qwest has met or exceeded the consensus of analysts' estimates for the 15th consecutive quarter. [yeah, yeah, gimme some facts] [snip] Fourth quarter revenue of $5.02 billion was a 9.9 percent increase over pro forma normalized fourth quarter 1999. The revenue growth was driven by strong demand for Internet and data services, which increased by almost 40 percent in the quarter. [Overcapacity now? How long to a shortage of capacity @ 40% per QTR increases in demand?] Wireless services revenue grew 90 percent in the quarter to almost $150 million with more than 805,000 customers at year-end. [Remember, wireless transmissions usually spend at least some of their lives traveling over pipe.] [snip] The EBITDA improvement was achieved despite significant investments [i.e., capital expenditures including parts from NT] in growth areas such as hosting, local broadband access, Internet and data services, and service improvements. [As I recall, some of this involved purchases from NT notwithstanding the conventional wisdom was that a slowdown in purchases by installers was hurting mfrs like NT.] [snip] INTERNET AND DATA SERVICES Internet and data revenues for the fourth quarter 2000 grew approximately 40 percent over the fourth quarter of 1999. The company saw strong demand for Internet access, hosting, digital subscriber line (DSL), virtual private network, frame relay, ATM and professional services. Internet and data services revenue represented 70 percent of Qwest's total revenue growth in the quarter. [parts is parts, and NT makes parts.] [snip] Qwest ended 2000 with more than 255,000 DSL customers, more than double the previous year and exceeding the company's year-end target of 250,000. Qwest expects to double the number of DSL customers to 500,000 by the end of 2001. Qwest leads the industry with 846 DSL customers per central office with DSL-equipped facilities. About 85 percent of DSL customers install the service themselves without requiring a technician. [Like some of you, I decided a couple years ago to wait on DSL until I could "do it myself", particularly after I heard that Bell Atlantic (now Verizon) was scheduling three techies for three days for the average installation in the WDC area where I live. Maybe it's time to reconsider . . . And once we start purchasing and using, the local offices likely will upgrade for mass use - more parts, some of which may be from NT.] [snip] Qwest has completed local fiber networks in 11 markets and has introduced end-to-end broadband services to business customers, including Internet access, application hosting, integration of local area networks and long distance services. Qwest is on track to complete the remaining 14 local networks by the end of 2001. [I think this is that "last mile" concern - still more parts?] [snip to end - all the financials, too many of which I probably left in above.] eom