Alcatel-Lucent reports Q1 loss amid competition

02 May 2008
00:00

(Associated Press via NewsEdge) Alcatel-Lucent reported a fifth straight quarterly loss and braced investors for a bleak 2008 future, saying the telecommunication equipment market will be flat

The firm said it lost 181 million euros (US$282 million) compared with a loss of 8 million euros a year earlier, when results were boosted by an asset sale.

Revenues fell to 3.86 billion euros (US$6.02 billion) from 3.88 billion euros a year earlier.

For the full year, Alcatel-Lucent said it expects revenue to decline 2% to 5% due to the weak dollar and lower spending by telecom operators, it's biggest customers.

It scaled back its outlook, saying 2008 will be a flat market compared with February expectations of 'flat to slightly up.'

CFO Hubert de Pesquidoux, speaking in a conference call, blamed the worsening economic climate.

Rival wireless equipment maker LM Ericsson of Sweden last week predicted 'flattish development in the mobile infrastructure market' this year, but good growth in the professional services market.

© 2008 The Associated Press

© 2008 Dialog, a Thomson business. All rights reserved

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