3Com shows profit in latest financial results

The results were announced in the company’s financial results for its fiscal 2009 first quarter which ended August 29, 2008.

According to 3Com CEO Robert Mao, 3Com had a strong APAC quarter, achieving 50 percent revenue growth compared to the same quarter a year ago.

Revenue in the quarter was US$342.7 million compared to US$319.4 million in the corresponding period in fiscal 2008, a 7 percent increase.

"Overall this was an excellent quarter for 3Com as we achieved GAAP profitability," said Peter Chai, vice president and general manager, 3Com APAC.

"In addition, we delivered our three key objectives in the quarter: solid year-over-year revenue growth, improved profit margins, including record gross margins again, and strong cash generation.

“These results exceeded our revised guidance for the quarter, and showed several examples of improved execution of our strategy and the benefit of efficiencies gained from our integration activities.

“We believe that our strategy offers a compelling value proposition of price-performance leadership to value-conscious enterprise customers," he added.

The company’s net income in the quarter was $79.8 million, or $0.20 per diluted share, compared with a net loss of $18.7 million, or $0.05 per share, in the first quarter of fiscal year 2008.

In the first quarter of fiscal 2009, 3Com recorded a $70.0 million, or $0.17 per diluted share.