Compaq results are lackluster; stock falls 15%
Article Abstract:
Compaq Computer Corp reports a disappointing increase in the 1st qtr and warns that the company might not do well in the 2nd qtr. The company's stock reacts in consequence, falling 15 percent to $52.50. The company's net income rose 24 percent in the 1st qtr, to $114.3 million ($1.26 a share), from $92.2 million ($1.06 a share) in the year-earlier quarter. Analysts had foreseen earnings of $1.35 a share, or more. Revenue was up 11 percent, to $970.8 million, compared to $872.2 million in 1990. Compaq expects that necessary price cuts together with unfavorable economic circumstances will depress earnings in the company's next quarter. Financial reports by other computer industry firms are mixed: Apple indicates its earnings are low because its increased market share is based on low-priced products. Sun Microsystems Inc reports unexpectedly high profits.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1991
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Compaq's 4th-quarter net tumbled 51% as sales dropped 13% in weak economy
Article Abstract:
Compaq Computer Corp reports that income is down 51 percent in 4th qtr 1991. The company reports net income of $66.6 million, or 77 cents a share, which compares with $134.8 million, or $1.51 a share, in the same period in 1990. Sales are $873.4 million, down from $1 billion. Compaq cites intense competition in the computer industry and slowed economic conditions overall as reasons for the setback. CEO Eckhard Pfeiffer foresees another difficult year in 1992. Compaq's stock was down $2.375 on Tuesday, Jan 28, 1992, closing at $32.75.
Publication Name: The Wall Street Journal Western Edition
Subject: Business, general
ISSN: 0193-2241
Year: 1992
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