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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Charles Tutt who wrote (50419)	7/18/2002 5:53:34 PM
From: Proud_Infidel	Respond to of 64865

Sun Micro CFO: Economy Still Unchanged And Uncertain By: Donna Fuscaldo, Of DOW JONES NEWSWIRES NEW YORK -(Dow Jones)- Sun Microsystems (NasdaqNM: SUNW - News) Inc. isn't seeing any change in the current information technology spending environment, said Steve McGowan, Sun's new chief financial officer. Speaking on a conference call with analysts to discuss fiscal fourth-quarter results, McGowan said because of the lackluster spending on technology the company is offering cautious targets for fiscal 2003. For Sun's fiscal first quarter the company expects revenue to decline 10% to 15% sequentially. The fiscal first quarter is the slowest time period for the Palo Alto , Calif. , computer hardware and software maker. The company also expects a "slight" loss in the quarter and for gross margins to be flat with the fourth quarter. Analysts, according to Thomson First Call, have Sun weighing in with earnings of a penny a share in its first quarter and revenue of $3.2 billion. As for the fiscal 2003 full year McGowan said Sun expects revenue to grow in the 10% to 15% range and for gross margins to "gradually" rise to the low 40% range. Research and development spending, he said, will be flat with 2002 levels of $1.8 billion. According to McGowan, the economy is still unchanged and uncertain. Late Thursday Sun reported net income of $20 million, or a penny a share, including items, compared with a loss of $88 million, or 3 cents a share, including items, in the year-ago fourth quarter. Excluding the items, the company earned $28 million, or a penny a share, compared with $10 million or break-even a share in the year ago. Revenue came in at $3.4 billion, compared with revenue of $3.99 billion last year. Sun's fourth-quarter earnings were in line with the First Call consensus. Revenue came in above analysts' expectations of $3.29 billion. Shares of Sun were recently trading at $4.96 in after-hours action, according to Island ECN. The stock finished the regular trading session at $5.80, up 2%, or 12 cents a share.