Sun says revenue dropped 10.2 per cent in Q3
- 22 April, 2003 07:53
Sun Microsystems has reported a 10.2 per cent drop in third-quarter revenue compared with the same period one year ago. However, the company posted net income of $US4 million for the period, an improvement over a $37 million loss for the same period in 2002.
In an announcement released after the close of financial markets in the US, Sun said revenue for the quarter ending March 30 totalled $2.79 billion, down 10.2 per cent from the $3.107 billion it had in the third quarter of fiscal year 2002.
Net income for the third quarter was $4 million, or 0 cents per share, compared with a net loss of $37 million, or 1 cent per share, a year ago.
Scott McNealy, Sun's chairman, president and CEO, said in a statement that the company is doing what it can to make itself healthier in the midst of a poor economy. "We made a number of strategic efforts in the areas of entry-level systems, Sparc processor development and utility and managed services that strengthen our position," he said.
The third-quarter figures represented an improvement over the company's results for its second quarter, when Sun posted a net loss of $2.28 billion, or 72 cents per share. Those figures included $2 billion in charges, mostly due to investment losses. Revenue for the second quarter, which ended December 29, was $2.9 billion, down 6 per cent from the $3.1 billion in revenue posted in the second fiscal quarter of 2002.
Steve McGowan, Sun's chief financial officer, said in a statement that the company's third-quarter financial improvement is an important step during what remains a tight economy. "This quarter's results indicate we continued to take the appropriate actions in areas such as cost improvements, productivity enhancements, discretionary expense management and cash generation," McGowan said.