PictureTel agrees with analysts on 4th-period net

Article Abstract:

PictureTel Corp officials agree with analysts' projections that the company's sales for the 4th qtr 1991 would double and net income would triple before a tax-loss carry-forward. Analysts estimate that PictureTel would register about $78 million in revenue for 1991, compared to $37 million in 1990. Fourth quarter net income, before extraordinary expenses, is projected at $1.5 million, or 11 cents per share, on revenue of $26.5 million. In the 1990 4th qtr, the company registered a net of $551,000, or six cents a share, on revenue of $11 million. PictureTel's system 4000 videoconference line is selling well; it now accounts for 95 percent of revenue. International business brought in about 30 percent of 1991 revenues, compared to under 20 percent in 1990. Four overseas subsidiaries have been established to market products in the UK, Japan, Australia, Germany and France.

Communications Equipment, Communication services, not elsewhere classified, PCTL, Fourth Quarter

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Leader in videoconferencing faces expanding field; PictureTel's stock price has fallen; it calls problems overblown

Article Abstract:

PictureTel Corp of Danvers, MA, the market leader for videoconferencing systems, faces stiff competition from companies entering the field, such as VideoTelecom Corp, Hitachi America, Northern Telecom and AT&T. As a result, the company's stock went down drastically by 79 percent, from $53 a share in early 1992 to $11 a share in the last week of Aug 1992. Analysts expect the company's revenue to peak at $130 million, up from the 1991 figure of $78 million but $20 million lower than earlier estimates. PictureTel and its foremost competitor Compression Labs Inc, which is also experiencing lower profit margins, are disadvantaged by their proprietary systems. Both claim they are developing new, standardized systems in anticipation of the shift toward compatibility. Videoconferencing standards are expected to be in place between 1995 to 1997.

Communications equipment, not elsewhere classified, Product information, Telecommunications equipment industry, Market Analysis, Competition, Market Penetration

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Boston Technology expects to post profit for 2nd quarter after year-earlier loss

Article Abstract:

Boston Technology Inc is expected to report a profit for the qtr ended Jul 31, 1992, as the result of 15 new products and a doubled customer base. According to Pres and CEO David S Gergacz, Boston Technology will likely post a net income between $600,000 and $700,000, two to three cents per share, on revenue of $11 million. The growth represents 12 percent increase in revenue. The company posted a loss during the same quarter of 1991. Boston Technology's primary products are voice-mail systems that range in price from $300,000 to $3 million per system. The company's focus for growth is the international market. Currently, international sales compose five percent of total sales, and the company is hoping to increase international sales by 50 percent by 1994.

Management, Voice mail, Executive, Stock, Losses, Second Quarter, Boston Technology Inc., BSTN, Gergacz, David S.

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