Feeds

Alcatel in return to health shocker

Welcome boost for struggling telco kit sector

  • alert
  • submit to reddit

Build a business case: developing custom apps

Alcatel's results have rebounded with strong quarterly sales figures.

In a trading update issued today, Alcatel said its sales figures for Q4 2002 were more than 25 per cent up on those on its previous quarter. Sustained sales of broadband equipment and mobile infrastructure, along with seasonal factors, are responsible for the welcome gains, the French telecoms equipment maker reckons.

The company predicts Q4 profits will be around break even on revenues of around €4.1 billion, even after accounting for reserve inventories of €150 million. It reports its cost cutting restructuring plans, announced after previous disappointing figures, are well on track with a prediction it should be cash positive when its full Q4 results are announced on February 4.

Alcatel's cheery prognosis is a welcome sign for the beleaguered telecoms equipment market as a whole, which has been in the doldrums for the best part of two years. Business failures and the reigning in of spending by surviving carriers, coupled with a more general IT spending slowdown, have hit firm like Alcatel, Lucent, Nortel and (to a slightly lesser extent) Cisco hard in recent times.

However it's too early to predict that the market is on the up. Alcatel's results are best considered as a welcome sign of the first green shoots of recovery. ®

Boost IT visibility and business value

More from The Register

next story
Sysadmin Day 2014: Quick, there's still time to get the beers in
He walked over the broken glass, killed the thugs... and er... reconnected the cables*
Auntie remains MYSTIFIED by that weekend BBC iPlayer and website outage
Still doing 'forensics' on the caching layer – Beeb digi wonk
SHOCK and AWS: The fall of Amazon's deflationary cloud
Just as Jeff Bezos did to books and CDs, Amazon's rivals are now doing to it
VVOL update: Are any vendors NOT leaping into bed with VMware?
It's not yet been released but everyone thinks it's the dog's danglies
BlackBerry: Toss the server, mate... BES is in the CLOUD now
BlackBerry Enterprise Services takes aim at SMEs - but there's a catch
prev story

Whitepapers

Implementing global e-invoicing with guaranteed legal certainty
Explaining the role local tax compliance plays in successful supply chain management and e-business and how leading global brands are addressing this.
The Essential Guide to IT Transformation
ServiceNow discusses three IT transformations that can help CIO's automate IT services to transform IT and the enterprise.
Consolidation: The Foundation for IT Business Transformation
In this whitepaper learn how effective consolidation of IT and business resources can enable multiple, meaningful business benefits.
How modern custom applications can spur business growth
Learn how to create, deploy and manage custom applications without consuming or expanding the need for scarce, expensive IT resources.
Build a business case: developing custom apps
Learn how to maximize the value of custom applications by accelerating and simplifying their development.