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

To: Mark Ambrose who wrote (1312)	8/28/2001 5:44:38 PM
From: lightwave51	Read Replies (1) \| Respond to of 1331

Comverse second-quarter profits dip cbs.marketwatch.com

To: Mark Ambrose who wrote (1312)	9/5/2001 5:42:25 PM
From: Mark Ambrose	Respond to of 1331

Comverse meets reduced expectations for Q2 Globes correspondent 29.08.2001 11:13 Comverse (Nasdaq: CMVT) reported results for the second quarter of 2001 that were in line with its profit warning issued on July 11. Sales totaled $345.09 million in the second quarter of 2001, compared with $292.07 million in the second quarter of fiscal 2000. For the second quarter of 2001, net profits, excluding one-time charges, fell to $50.01 million, or $0.28 per share, compared with net profits of $62.48 million, or $0.36 per share for the second quarter last year. During the second quarter of 2001, the company incurred one-time charges totaling $22.02 million for costs related to a previously announced workforce reduction and write-down of investments. Comverse also incurred one-time charges totaling $10.78 million for acquisition-related costs. Including one-time charges, net profits dropped to $27.98 million, or 46% lower than in the second quarter of 2001, when the company reported net profits with $51.70 million. Comverse Technology chairman and CEO Kobi Alexander said, “Our second quarter results reflect the impact of the global capital spending recession, and the worldwide economic slowdown. At the same time, we remain well-positioned as a leader in our major markets, and believe that these markets offer attractive opportunities for long-term growth. In particular, we believe that communications service providers view enhanced services as an increasingly important strategic weapon for revenue generation, differentiation, and churn reduction. Our Comverse Infosys division continues to expand its market share, as more customers use our multimedia monitoring, business intelligence and customer relationship management products, and our Ulticom division continues to benefit from the growth in intelligent network services, as well as the convergence of circuit and packet communications technologies.” For the third quarter, Comverse estimates it will report revenue of $330 million and a profit per share of $0.20. For the fourth quarter, the company is predicting revenue of $340 million and a pick up in profits per share to $0.23. Comverse ended the quarter with record cash and cash equivalents, bank time deposits and short-term investments of $1.77 billion. Comverse develops service software and systems for companies in the communications field. The company’s shares closed yesterday on Nasdaq at $28.55. In after-hours trading, Comverse shares fell another 2.9% to $27.73. Published by Israel's Business Arena on 29 August, 2001