3Com Reports Loss in Line With Analyst Estimates

Computer networking-equipment maker 3Com Corp. reported fiscal fourth-quarter results that were in line with analyst expectations, saying its ongoing restructuring is on track to be completed by the end of its first fiscal quarter. Santa Clara, Calif.-based 3Com said it had a loss of $146.8 million, or 42 cents a share, contrasted with year-ago net income of $87.5 million, or 24 cents. Sales fell to $763.7 million from $1.24 billion, but the fourth-quarter figure was higher than 3Com’s internal estimates of $675 million to $750 million, 3Com said. It was expected to report a loss of 44 cents, according to First Call/Thomson Financial. The company cautioned that it will turn an operating profit in the fourth quarter of fiscal 2001, contrary to earlier reports that it would reach operating profitability by the third quarter. The earnings were released after the market closed. 3Com shares fell $1.69 to close at $48.69 on Nasdaq.