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Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: Richard Birecki who wrote (10319)	8/27/1998 9:06:00 PM
From: KLH	Read Replies (1) \| Respond to of 42804

Richard, I wasn't aware that there was any sizeable shorting of this stock. What a shock. karl

To: Richard Birecki who wrote (10319)	8/27/1998 9:26:00 PM
From: Eric L.	Respond to of 42804

MRV sees lower Q3 revs, income vs Q2 Thursday August 27, 8:40 pm Eastern Time CHATSWORTH, Calif., Aug 27 (Reuters) - MRV Communications Inc. said Thursday it expected the third quarter to have lower revenues and income than the second quarter due to weaker demand for its high-speed optical networks and delays in introducing the next generation of such networks. MRV, whose networks help telecommunications networks run more efficiently, said in a statement it expected revenues to be 10 to 15 percent lower than the $65.7 million reported in the second quarter. It also said it projected lower income than it had earlier anticipated but did not provide any figures. First Call's consensus estimate from analysts who follow the company forecast an operating profit of $0.32 per diluted share for the quarter against $0.23 for the same period a year ago. For the second quarter, MRV reported a net profit of $0.31 per diluted share against $0.21 for the same period a year ago. The company said in the statement its gross-margin percentage would likely be down from the previous quarter's 44.1 percent. It also said the percentage for the year would be in the low end of the 43 percent and 45 percent range, if not slightly lower. ''MRV's gross-margin percentage will vary depending on product mixes,'' it said. MRV said operating expenses are expected to be about 8 percent to 10 percent higher than the $17.4 million reported in the second quarter. ''In addition, delays in the introduction of next generation networking products that were expected to be released before the end of the third quarter of 1998, contributed to a shortfall in MRV's revenue expectations,'' it said. ''The company's plans now call for introduction of those products before the end of the fourth quarter of 1998,'' it said. <ouch>