Telecoms equipment maker Marconi Corporation Plc [MONI.L] has cut its half-year loss, reporting a second-quarter operating loss of GBP62 million ($104.5 million), down from GBP246 million ($414.8m). Revenue also declined sharply to GBP389 million ($655.9 million), from GBP514 million ($866.7 million) in the year-ago quarter.
For the six months to September 30, it reported an operating loss of GBP149 million ($251 million), down from an operating loss of GBP485 million ($817.8 million). The decline in the operating loss comes after an aggressive cost-cutting drive. Sales were markedly down at GBP756 million ($1.27 billion), from GBP1.10 billion ($1.86 billion) for the same period in 2002.
The company has GBP772 million ($1.30 billion) in cash, down from GBP1.16 billion ($1.95 billion) at the year-end on March 31.
Marconi said it is starting to see early signs that some of its major customers are looking at next-generation projects and the possible spending this would entail. However, it is maintaining a prudent stance regarding spending on current technologies.
Although Marconi’s biggest customer is BT [BTY], it is the improving German market where it is benefiting at the moment. It is also seeing heightened rates of spending by North American wireless customers.
This article was based on material originally published by ComputerWire.