Lucent Technologies Inc, the ex-AT&T unit that specializes in communications equipment has reported an impressive set of third quarter earnings. Net income at the company came in at $213m, or 33 cents a share, topping Wall Street estimates of 25 cents a share and tripling earning per share over the year ago quarter. Lucent, which was finally spun off from AT&T Corp late last year (October 7), reported revenues up 18.2% at $6.3 billion. In the comparable period last year, Murray Hill, New Jersey-based Lucent reported earnings of $72 million, or 11 cents a share, on revenue of $5.3bn. Lucent now defines its core businesses as network operator systems; microelectronic products and business communications systems – These showed a 22.6% increase. However, Lucent did not include results from its consumer products business in the quarter. Consumer product revenues decreased 29.6% to $193m year on year but Lucent got shot of the operations and their losses by handing over the unit to a jointly owned venture with Philips Electronics NV earlier this year (June 18). Revenue for network operators systems business was up 27.3%, to $3.8 billion. The company said growth had been driven by sales of both switching and wireless systems along with associated software, fiber optic cable and professional services. Domestic revenue increased about 41% in the third quarter. Microelectronic product revenues grew 13.6%, to $687 million. The increase in product sales was offset by lower revenue from the licensing of intellectual property. Sales were driven by sales of customized chips for computing and communications, says the company. While US revenues rose 6% International sales were up 21% over the third quarter last year. Lucent’s Business communications systems revenue rose 16.3 percent, to $1.6 billion with sales of Lucent’s enterprise communications servers, messaging systems and cabling systems up 16% both in its home market and internationally.
Content from our partners
