New losses at Alcatel-Lucent amid rehaul

Oct 31, 2013

Telecommunications equipment maker Alcatel-Lucent SA lost 200 million euros ($274,000) in the third quarter, including costs of restructuring efforts aimed at turning around the long-struggling company.

It's the latest in a series of losses for the France-based company, and compares with of 316 million euros in the same quarter in 2012.

Alcatel-Lucent in a statement Thursday attributed the latest loss to a financial charge and costs of restructuring, which includes thousands of , ending unprofitable contracts and focusing on newer technology.

Sales in the quarter were 3.67 billion euros, up from last year's third quarter of 3.6 billion euros. The company reported a stronger contribution from broadband and other internet activities, offsetting shrinking activity in older technology. It said sales growth was driven by North America, while sales fell in Latin America and Asia.

Alcatel-Lucent supplies companies such as AT&T, Verizon and France Telecom.

CEO Michel Combes, whose predecessor struggled to turn the company around and who recently warned the company could "disappear" if it's not overhauled, said it is continuing asset sales to focus on developing new broadband. "We are seeing the first positive signs of our new operating model in our day-to-day business," he said.

The has lost money nearly every year since the 2006 merger of New Jersey's Lucent Technologies and France's Alcatel.

Explore further: Alcatel-Lucent plans overhaul, big cost cuts (Update)

not rated yet
add to favorites email to friend print save as pdf

Related Stories

Telecoms firm Alcatel-Lucent to cut 10,000 jobs

Oct 08, 2013

Telecommunications equipment maker Alcatel-Lucent SA said Tuesday that it plans to cut 10,000 jobs worldwide over the next two years, the latest cost-cutting drive from the loss-making company.

Troubled telecoms: Alcatel-Lucent job cut protest

Oct 15, 2013

Wearing black trash bags marked with crosses, more than a thousand Alcatel-Lucent workers marched to the Eiffel Tower on Tuesday, staging a mock funeral that the chief executive warned could easily become a reality for a ...

Alcatel-Lucent loss narrows in 1st quarter

May 06, 2011

(AP) -- Alcatel-Lucent SA said Friday its net loss narrowed sharply in the first quarter compared with a year earlier, when a components shortage caused the telecommunications gear maker's losses to balloon.

Alcatel-Lucent boss leaving as losses mount

Feb 07, 2013

Alcatel-Lucent CEO Ben Verwaayen is leaving the loss-making French-U.S. telecommunications gear maker after a failed four-year bid to turn the business around.

SAP profits up 23 percent as cloud computing grows

Oct 21, 2013

Business management software company SAP AG says net profit rose 23 percent in the third quarter as its cloud computing business grew rapidly and the company kept down costs by holding down hiring of new employees.

Recommended for you

Ex-Apple chief plans mobile phone for India

19 hours ago

Former Apple chief executive John Sculley, whose marketing skills helped bring the personal computer to desktops worldwide, says he plans to launch a mobile phone in India to exploit its still largely untapped ...

Airbnb rental site raises $450 mn

Apr 19, 2014

Online lodging listings website Airbnb inked a $450 million funding deal with investors led by TPG, a source close to the matter said Friday.

US venture investments highest since 2001 (Update)

Apr 18, 2014

Funding for U.S. startup companies soared 57 percent in the first quarter to a level not seen since 2001, as venture capitalists piled more money into a growing number of deals, according to a report due out Friday.

User comments : 0

More news stories

Hackers of Oman news agency target Bouteflika

Hackers on Sunday targeted the website of Oman's official news agency, singling out and mocking Algeria's newly re-elected president Abdelaziz Bouteflika as a handicapped "dictator".

Ex-Apple chief plans mobile phone for India

Former Apple chief executive John Sculley, whose marketing skills helped bring the personal computer to desktops worldwide, says he plans to launch a mobile phone in India to exploit its still largely untapped ...

Cancer stem cells linked to drug resistance

Most drugs used to treat lung, breast and pancreatic cancers also promote drug-resistance and ultimately spur tumor growth. Researchers at the University of California, San Diego School of Medicine have discovered ...