Nortel reports profit, will restate past results

Nortel recorded a profit of about $179 million, or $0.04 per share, in the third quarter of 2003, according to preliminary results the company released Thursday. But the equipment maker also said it would restate its financial results for 2000, 2001, 2002 and the first two quarters of 2003 as part of an ongoing review of its assets and liabilities.

The profit surpassed the forecasts analysts had given, as reported by Thomson First Call. The analysts had estimated that Nortel would break even in earnings per share, on revenue of $2.33 billion. Revenue for the quarter, ended Sept. 30, came in close to that estimate, at $2.27 billion, Nortel said.

The restatements should reduce the losses Nortel reported in 2000 through 2002 and increase shareholders' equity and net assets as reported on its balance sheet on June 30, 2003, the company said in a statement.

The IDG News Service is a Network World affiliate.