Paris, Nov 01: Alcatel reported that its third-quarter net loss narrowed sharply to 284m euros ($332.5m) and said it would meet or exceed its financial targets for the rest of the year. Alcatel said its revenues fell 13% to 3.04bn euros, but it had an operating income of 160m euros as all three of its main sectors earned operating profits. Sales in Q4 should grow “in the twenties” compared to the previous quarter and that it would exceed its full-year target of breaking even at the operating level, it added.
Alcatel said it was also comfortable with its target of breakeven net income in Q4 before goodwill and non-recurring charges. The net loss was deeper than analysts expectations of 259m euros ($305m), but operating profit was more than twice the average forecast of 72m euros.
Sales also fell short of analysts’ forecast for 3.17bn euros.
Alcatel’s shares, which fell 77% in ‘02, have nearly trebled this year, easily outperforming the Dow Jones Stoxx technology index, which is up about 34%. Bureau Report