Careful 3Com in the black in Q3

By Sam Trendall on Mar 23, 2009 9:25 AM
Filed under Finance

Networking vendor pinches pennies and enjoys Chinese success to post thirdstraight quarterly profit.

Careful cost management helped networking vendor 3Com turn a profit during its fiscal third quarter, despite a year-on-year dip in revenue.

For the three months to 27 February, the Massachusetts-based company reported revenue of $324.7m (£224m), a 3.5 per cent decline on the same period last year. Net profit based on generally accepted accounting principles (GAAP) stood at $1.9m, compared a net loss of $7.8m during Q3 last year.

Revenue for the first nine months of 3Com's fiscal year stood at just over $1bn, up five per cent on 2008. GAAP net profit was $94.6m, compared to a net loss of $62.1m last year.

Chief executive Bob Mao claimed business remained brisk in China and that close attention to its cost base had helped keep his firm on a sound financial footing. "I am very pleased with 3Com’s performance in the quarter, especially given the current economic conditions,” he said.

“Our China business remained strong in the quarter. Our TippingPoint segment achieved record revenue. The strength in these two segments, combined with stringent cost management, allowed us to offset weakness in other geographies and deliver substantially higher year-over-year profit.”

Follow us on Facebook and Twitter @ 2010 Incisive Media


Careful 3Com in the black in Q3
Top Stories
HP taps Microsoft Azure as preferred public cloud partner
Microsoft to make HPE infrastructure its preference.
Dicker Data and Cisco celebrate Christmas
[Photos] Who was at the Sydney drinks on 25 November?
Sign up to receive CRN email bulletins
Was your most important vendor the same in 2015 as in 2014?

Latest Comments
CRN Magazine

Issue: 343 | October 2015

CRN Magazine looks in-depth at the emerging issues and developments for the channel, and provides insight, analysis and strategic information to help resellers better run their businesses.