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

To: princesedi who wrote (368)	2/26/1998 2:57:00 PM
From: JBTFD	Read Replies (1) \| Respond to of 1944

ADC Telecommunications <ADCT.O> backs estimates MINNEAPOLIS, Feb 25 (Reuters) - ADC Telecommunications Inc backed First Call's earnings estimate of $0.25 a share for its fiscal second quarter ending in April, and said it may exceed First Call's estimate of $1.07 a share for its fiscal year ending in October. "We think we'll achieve that level, 25 cents," chairman, president and chief executive officer William Cadogan told Reuters following ADC's annual shareholders meeting Tuesday. For the year, Cadogan said, "We're very comfortable with that ($1.07 a share). If anything, there could be some upside to that number." Both amounts represent 14 percent increases over ADC's second quarter and fiscal year earnings per share in 1997, which were $0.22 and $0.94 respectively. Cadogan told shareholders that he expected ADC's sales to grow 20 percent "over the next couple of quarters." Cadogan told the shareholders that, after a reduction in orders from one of its top 10 customers in the first quarter, ADC has seen those orders return in the current, second quarter. "We saw a very marked decrease in spending from WorldCom and its related companies - MCI, MFS, Brooks Fiber - in the first quarter," Cadogan said. "But I can tell you today that we have already seen a resumption of purchases from the combined entity of WorldCom and MCI." Cadogan told the shareholders that slowing the growth of costs would be among ADC's priorities. "We will be instituting effective expense controls over the balance of 1998," he said. "We will be controlling expenses until we can confirm a turnaround in our business." On February 18, ADC reported its first quarter 1998 results which showed a 12 percent increase in sales from a year ago to $286.4 million, a one percent increase in operating income to $38.0 million and a two percent increase in net income to $25.4 million. 21:14 02-25-98 Copyright 1998 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similiar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon. All active hyperlinks have been inserted by AOL.