AP NEWS
Related topics

Ciena Operating Profit Triples

May 17, 2001

%mlink(STRY:; PHOTO:; AUDIO:%)

LINTHICUM, Md. (AP) _ Acquisition costs pushed Ciena to a loss for its latest quarter, but operating profits tripled for the period, the network equipment maker reported Thursday.

Ciena lost $50.7 million, 17 cents a share, during the three months ended April 30, which is the company’s second quarter. In the same period last year, the company posted a net profit of $18.4 million or 6 cents per share.

But excluding $75.7 million in expenses from the purchase of Cyras Software and other one-time factors, Ciena had a second-quarter operating profit of $65.4 million, or 20 cents a share.

Ciena’s revenue more than doubled during the quarter to $425.4 million, up from $185.7 million in the second quarter of 2000.

Analysts surveyed by Thomson Financial/First Call had predicted Ciena would report operating profits of 16 cents a share. In midday trading on Wall Street, Ciena’s stock was up 89 cents a share at $59.79

The company announced in December that it was buying Cyras for $2.6 billion in stock, a move Ciena said it hoped would help it gain a foothold in the lucrative market for urban network equipment.

Ciena, based in Linthicum, Md., had previously concentrated on products for long-distance networks between cities.

AP RADIO
Update hourly