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.

Strategies & Market Trends : Guidance and Visibility -- Ignore unavailable to you. Want to Upgrade?

To: 2MAR$ who wrote (5785)	7/16/2001 12:41:03 AM
From: 2MAR$	Read Replies (1) \| Respond to of 208838

WSJE: Epcos' 3Q Warning Signals Trouble In Wireless Industry By Alfred Kueppers Staff Reporter FRANKFURT -- Epcos AG announced that fiscal third-quarter results would fall short of analysts' expectations and that the situation wouldn't improve in the current quarter. The German mobile-phone components maker is the latest company to send a negative signal about growth prospects in the telecommunications industry. Analysts had expected earnings per share in the quarter through June 30 to be 54 European cents. Epcos said Friday its earnings would be at least 35% below this level at 35 cents per share. "In the first half of June we said that we expected to see positive developments," said Heinz Kahlert, a company spokesman. "But there was an unexpected drop-off in orders in the last two weeks of the quarter." Analysts questioned the timing of the announcement, which indicates slowing orders from Epcos's major clients, such as Siemens AG and Nokia Corp. The company said as recently as June 20 that it was sticking to its fiscal year target of a 10% to 15% rise in sales and a pretax profit margin of 16%. "To some extent, this announcement was a surprise," said Theo Kitz, and analyst with Merck Fink & Co. "Their CEO confirmed the positive guidance just three weeks ago, but on the other hand we all know the situation is bad in the mobile-phone market." Epcos shares on Friday fell as much as 7.5% before recovering slightly. They closed at 53.80 euros, down 2.8%, or 1.55 euros in trading on the Frankfurt Stock Exchange. (END) DOW JONES NEWS 07-16-01 12:30 AM * end of story *