Lucent: Quarterly Sales To Decline

Lucent Technologies

Lucent said it expects third-quarter sales to decline by 10 percent to 15 percent from the $3.52 billion in revenue it recorded for the second quarter. Previously, Lucent executives said they couldn't tell what the revenue picture would look like.

Financial analysts covering Lucent, on average, expected sales of $3.5 billion for the quarter.

In a statement, Lucent CEO Patricia Russo said "service providers continue to constrain their capital spending to conserve cash, which is clearly affecting our top line."

The company said it is still on track with its restructuring and expected to have a total employee head count of about 50,000 by September.

"When the market turns around, we will be well-positioned to profitably grow the business," Russo said. The company has said it expects to be profitable again during its 2003 fiscal year, which begins in October.

Shares of Lucent on the New York Stock Exchange have been under pressure, and before the market opened were at $2.95 per share--up slightly from the 52-week low of $2.63.