Skip Links

Network World

  • Social Web 
  • Email 
  • Close

(Comma separation for multiple addresses)
Your Message:

Sun warns of revenue drop, big loss

By Stephen Lawson , IDG News Service , 10/20/2008
  • Share/Email
  • Tweet This
  • Comment
  • Print

Sun Microsystems on Monday warned of a big loss for the first quarter of its 2009 fiscal year, issuing preliminary results that also showed revenue falling.

The server and software vendor reported a preliminary loss in the range of US$0.25 and $0.35 per share, including a charge of about $60 million associated with the restructuring that Sun announced Aug. 1. Not counting that charge or other one-time items, the company said it would post a loss of between $0.02 and $0.12 per share.

Revenue for the quarter will come in between $2.95 billion and $3.05 billion, down from $3.22 billion in the first quarter of fiscal 2008, Sun said. The company plans to release its complete first-quarter results on Oct. 30.

Financial analysts surveyed by Thomson Financial had expected a loss of $0.01 on revenue of $3.14 billion.

"Sun and its customers are seeing the impact of a changing economy," CEO Jonathan Schwartz said in a prepared statement. The company is a major supplier of IT systems to financial services firms, which have been hammered in recent weeks by falling stock prices and the credit crisis.

As it released the preliminary results, Sun also said that because of several factors, including the poor economic environment, it may have to take a charge for goodwill impairment related to some of its businesses.

Sun's shares (JAVA) were down $0.43, or 7.44 percent, to $5.35 in after-hours trading on Monday. During regular trading Monday on the Nasdaq, the stock had risen $0.20 to $5.78.

  • Share/Email
  • Tweet This
  • Comment
  • Print

Partner Content

Gartner 2009 Magic Quadrant for Job Scheduling

Gartner has positioned BMC CONTROL-M in the Leaders Quadrant of their "2009 Magic Quadrant for Job Scheduling." The report assesses the ability to execute and completeness of vision of key vendors in the marketplace. Read a full copy today, courtesy of BMC Software.

Download whitepaper

Dell's SMART Approach to Workload Automation

Read a compelling case study by EMA, Inc. to learn how Dell uses BMC CONTROL-M to cut cost and increase productivity with workload automation.

Download whitepaper

Workload Automation Cost Savings 2 Minute Video

A major computer manufacturer uses BMC CONTROL-M and just four people to schedule and run over 85,000 jobs every month. By switching to BMC CONTROL-M, they more than quadrupled the workload without adding a single staff member.  See how in this 2-minute video overview.

Go to video

Comments (1)
Login
Forgot your account info?

Sun needs to expand its software businessBy Anonymous on October 21, 2008, 1:29 pmCRMs are very profitable, making SugarCRM, or even SplendidCRM, a good choice.

Reply | Read entire comment

View all comments

Add comment
Anonymous comments subject to approval. Register here for member benefits.
Have a NetworkWorld account? Log in here. Register now for a free account.

Videos

rssRss Feed