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: Judge approves $450 mn deal in Apple ebook suit

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

Dish restores Turner channels to lineup

23 hours ago

Turner Broadcasting channels such as Cartoon Network and CNN are back on the Dish network after being dropped from the satellite TV provider's lineup during contract talks.

'Call of Duty' blasts past $10 bn in sales

Nov 20, 2014

Blockbuster military shooter video game "Call of Duty" has blasted past $10 billion in lifetime sales, propelled by demand for the latest installment in the 11-year-old franchise.

Square's point-of-sale service goes global

Nov 20, 2014

Financial services startup Square is taking aim at cash registers across the globe, making its point-of-sale software available internationally in English, Spanish, French and Japanese.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.