Tekelec Reports Earnings Fell 36% in 4th Quarter

Tekelec, a Calabasas company that provides test systems for telecommunications networks, said its earnings declined 36% to $933,000 in the fourth quarter that ended Dec. 31 from $1.5 million a year earlier. Revenue fell 9% to $8.5 million from $9.3 million.

The company attributed the drop in earnings to the slowdown in sales combined with higher expenses.

For the year that ended Dec. 31, Tekelec reported net income of $3.5 million, down 35% from $5.3 million in 1988. Revenue rose 4% to $34 million from $32.8 million.