Vendor results N60

ZTE (China) reported 2004 revenues of $2.6bn (up 25%), of which 22% are international (up 100%). Net profit was $ 157m. 41% of revenues are made of mobile networks and 28% by mobile handsets (10m units shipped). Its gross margin rose in global and mobile infrastructure, but dropped by 1/3 in mobile handsets and optical and data communication businesses.

Carrier Access (US) announced disappointing preliminary 1Q05 revenues of about $ 12.5m.

Orckit (Israel) unveiled 1Q05 revenues of 20.6m and $ 3.1m in net income. For 2005, Orckit plans $ 90m in revenues, and a net margin of 16.5%.

Tandberg (Norway) posted 1Q05 revenues of €50m, up 25%, operating income of € 7.8m and net income of € 2m. Gross margins continued to improve to 55.7%.

Samsung Electronics (S. Korea) reported 1Q05 revenues of $ 13.5bn (down 4%) and net profit of $1.5bn (down 52%). Operating income fell 46% to 2.06bn. Telecom operations reported sales of $ 4.7bn (down 0.3%), and have sold some 24.5 m handset units in 1Q05 (with an APS of $ 182, up7%).

Sony Ericsson posted 1Q05 net profit decreasing to €32m (down 36%) on revenues of €1.3bn (down 4%). It shipped 9.4m handset units (up 7%) in the quarter.

Extreme reported FY3Q05 revenues of $92m (up 3.4%), but recorded a net loss of $1.3m.

SUN reduced its 1Q05 net loss to $9m, on sales of $2.6bn (flat).

IBM reports 1Q05 revenues of $22.9bn (up 3%), of which $3.6bn (+2%) in software (including middleware sales of $2.8bn), $11.7bn (+6%) in Global Services, and $6.7bn in hardware (flat). Gross profit margin was 36% (flat), and net income rose 3% to $ 1.4bn. Sales in Germany, France, Italy and Japan (or 25% of total sales) declined 5%. IBM ended the first quarter with $8.7bn of cash.