Arab Today, arab today alcatel cuts 2012 operating margin estimate
Last Updated : GMT 03:25:36
Arab Today, arab today
Arab Today, arab today

Alcatel cuts 2012 operating margin estimate

Arab Today, arab today

Arab Today, arab today Alcatel cuts 2012 operating margin estimate

Paris - AFP

The French telecommunications equipment maker Alcatel-Lucent said Tuesday that it no longer expects to post a stronger operating margin this year, as it unveiled a third-quarter operating loss. \"In light of year-to-date performance and the difficult macro-economic environment, Alcatel-Lucent will not be able to achieve its previously announced adjusted operating margin guidance for the full-year 2012,\" a statement said. Shares in the company plummeted by 12.08 percent to 0.997 euro in early trades on the Paris stock exchange, while the CAC index of leading stocks was 0.36 percent higher overall. The group had initially said that its adjusted operating margin this year would surpass the 2011 figure of 610 million euros ($750 million). That number represented 36 percent of total revenues last year. But the company added that \"based on the current order book, Alcatel-Lucent expects the second half of 2012 to be better than the first half.\" It posted a provisional second-quarter adjusted operating loss of around 40 million euros, compared with a profit of 108 million euros in the same period a year earlier. Sales in the period fell to 3.5 billion euros from 3.9 billion. Full details of the second quarter exercise and annual targets are to be published on July 26.

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