Earnings Parade (continued)

This week was also rich in financial announcements. The basic lesson is the confirmation of an healthy telecom market. On the services side, revenues growth range from 0% to 20% . It seems that the bigger, the lower revenue growth rate (-2% for DoCoMo, 2% for FT; 10% for China Unicom; 20% for Millicom). It is almost the case for earnings too.

On the vendor side, revenues range from negative (Fujitsu or Harmonic) to 69% with Redback, while profitability results was mixed; large companies suffered a lot (-32% for Lucent, -16% for Alcatel, -75% for Siemens COM) with an exception for Fujitsu (+100% but it is not relevant given the wide spectrum of activities). Broadly speaking, revenues growth was moderate (5% to 20%), with strong increase in access, optics and mobile infra.