Sun Returns to Profitability
%mlink(STRY:; PHOTO:; AUDIO:%)
SAN JOSE, Calif. (AP) _ Sun Microsystems Inc. posted fourth-quarter earnings of $20 million Thursday, returning to profitability even as it continued to struggle with the lingering economic downturn.
For the period ended June 30, Sun earned $20 million, or 1 cent a share, compared with a loss of $88 million, or 3 cents a share, in the same period a year ago.
Excluding a loss on equity investments and other adjustments, the company earned $28 million in the fourth quarter, or a penny per share.
Revenues were $3.4 billion, down 16.8 percent from $4 billion reported a year ago.
Analysts were expecting a profit of 1 cent a share on sales of $3.3 billion, according to a survey by Thomson Financial/First Call.
``We stated a goal of reporting a profit this quarter and we achieved that goal,″ said Scott McNealy, Sun’s chief executive.
After strong growth during the high-tech boom, Sun was hit hard as large companies reduced spending and dot-coms shut down.
For the full 2002 fiscal year, Sun reported sales of $12.5 billion, down 32 percent from the record high revenues of $18.3 billion in fiscal 2001.
In fiscal 2002, Sun lost $628 million, or 19 cents per share, compared with a profit of $927 million, or 27 cents a share in fiscal 2001.
Shares of Sun gained 12 cents to $5.80 on the Nasdaq Stock Market, but lost 5 cents in the extended session.
On the Net:
Sun Microsystems: http:/www.sun.com