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

To: TI2, TechInvestorToo who wrote (114)	2/13/2002 9:45:19 AM
From: Fuzzy	Respond to of 118

YUCK! XeTel Reports Results of Operations for Third Quarter of Fiscal 2002 AUSTIN, Texas--(BUSINESS WIRE)--Feb. 12, 2002--XeTel Corporation (Nasdaq:XTEL - news), a comprehensive electronics, manufacturing and engineering solution provider, today reported results for its third quarter and first nine months of fiscal 2002 ended December 29, 2001. Net sales for the third quarter of FY2002 were $12.3 million, a 76% decrease from the $52.1 million reported for the third quarter of FY2001. Net loss for the third quarter FY2002 was $9.2 million and included approximately of $4 million of inventory write-downs from insolvent customers and the resolution of issues related to disputed inventories and other items with Ericsson under a recent settlement agreement. This compares to net income of $2.6 million recorded in the third quarter of FY2001, which included $1.1 million (net of taxes) of recovery income. Basic and diluted net loss per share for the third quarter of FY2002 was $0.92, versus diluted earnings per share of $0.26 in the third quarter of FY2001, including recoveries. Gross margin for the quarter was negative 57.3% compared to positive 10.4% in the third quarter FY2001. The decline in gross margin was primarily the result of having a substantially reduced revenue level from the prior year's comparable quarter coupled with the previously mentioned write-downs. Selling, general and administrative, or SG&A, expenses were $1.9 million, or 15.1%, of net sales in the current quarter compared to $2.3 million, or 4.5%, in the prior year. SG&A expense for the current quarter also included an increase in reserves for bad debt. Net sales for the nine months ended December 29, 2001 were $67.8 million, a 52.1% decrease from the $141.5 million reported for the nine months ended December 30, 2000. Net loss for the nine-month period was $14.8 million as compared to net income of $5.2 million recorded in the nine months ended December 30, 2000, which included $1.8 million (net of taxes) of recovery income. Diluted loss per share for the nine months ended December 29, 2001 was $1.48, compared to diluted net income of $0.52 in the nine months ended December 30, 2000, which included $.18 per share of income from recoveries.