Adtran Beats Earnings Estimate Despite Sales Drop

The telecom company beats consensus estimates by a penny, while sales continue to drop.

Author:: Michael Dunn
Publish date:: Apr 15, 2002 7:42 AM EDT

Adtran

beat first-quarter earnings estimates by a penny, but the company's sales continued to decline.

The telecommunications equipment supplier said its net income was $4.34 million, or 11 cents a share, up 9.6% from $3.96 million, or 10 cents a share, in the year ago period. The consensus analyst estimate was for 10 cents a share, according to Thomson Financial/First Call.

The company's sales fell to $83.34 million, down from $105.28 million a year ago, missing the First Call estimate of $85.70 million.

Adtran offered no future guidance, but said it was pleased with the results considering the difficult environment. Inventory has been reduced by 51% since last year, and gross margins are up for the quarter. Analysts are expecting the company to earn 14 cents a share on sales of $91.80 million in the second quarter.