Job cuts, losses, profit warnings abound

The flurry of job loss announcements, profit warnings and very poor quarterly results, including those from Ariba, Commerce One, Ericsson, Gateway, Motorola, Nortel Networks, Philips Electronics, Unisys and Xerox, dominated the international world of IT and telecommunications during the last two weeks.

[VIDEO]At home, the Core Holdings debacle and the bad news from I-Tech and Micrologix stole much of the local headline space.

• we saw a return to full-year profit by Integrated Technology Holdings (I-Tech), however, this was achieved from associated company income;

• a full-year loss from Micrologix (revenue also well down and less than that at half-year);

• good interim numbers from EOH (however, margins squeezed heavily);

• interim losses from Bryant Technology (revenue also well down) and Maxtec (but revenue well up); and

• the news that I-Tech is going into voluntary liquidation in June.

• Additionally, with numerous resignations, the move of its MD to the UK, the selling of many of its shares by key directors, I wonder how much longer Core Holdings can survive?

[Local]

Other local news included:

• the restructuring of the Plessey group into two divisions;

• the name change of Complex-IT Holdings to Intelleca Holdings;

• the resignation of Wolfgang Striebeck, the MD of International Fairs and Exhibitions (includes Comdex SA), a subsidiary of Core Holdings;

• the resignations of seven of the directors of LogicalOptions;

• the appointment of Zeth Malele as CEO of arivia.kom;

• the sell-off by NetActive of Teleflorist SA back to its original owner;

• the entry into SA directly of Business Objects, headed up by Gary Lawrence, the ex-MD of Baan SA and SoftworX;

• the continued uncertainty regarding the future of Ixchange`s FrontRange Solutions subsidiary and of Oracle SA`s recently appointed MD, Lenore Kerrigan; and

• the retrenchment of 60% of the staff at e-commerce software company, Izodia, which only a couple of weeks ago announced a name change from Infobank and a re-launch of its local operations.

• we saw the creation of a Dictaphone Comms Recording Systems Group by Lernout & Haupsie (new clothes for Dictaphone!);

• the name changes of Advantage Learning Systems to Renaissance Learning, EarthWeb to Dice and Zdigital.com to Squaremoon;

• the restructuring of the board at Deutsche Telekom;

• the freeze on recruitment by Microsoft;

• the decision by Accenture`s partners that it should go public; and

• the news that Telecom Italia`s ISP, Seat Pagine Gialle, is in discussions to buy Eniro, the Swedish yellow pages business.

To have in excess of 1.5% of companies more than doubling their share price over the last two-week period, from out of the 1 000 or so companies that I track on a regular basis, is simply amazing.

Paul Booth, MD, Global Research Partners

Additionally, watch out for the acquisition of WebMethods by Hewlett-Packard; the British Telecom decision re its $550 million option in J-Phone, Japan`s third largest mobile group; the merging of the mobile units of Ericsson and Sony; the targets of Misys which is on the acquisition trail; and the fate of Viatel, the pan-European telecoms operator, which is struggling to stay afloat.

[International]

Other international news included:

• the

  appointments

  of Robert Dickinson as president and CEO of California Micro Devices, Kevin English as chairman, president and CEO of Covisint LLC, Patti Hart as president and CEO of Excite At Home, Peter Ianace as CEO of Vianet Technologies, Kazuo Iida as president and CEO of Fujitsu Microelectronics, Tadashi Onodera as president of KDDI, Jeff Papows as chairman of IT Factory, Albert Pharis as CEO of Logix Comms Enterprises, Patricia Russo as president and COO of Eastman Kodak, Terry Semel as CEO of Yahoo and Don Smith as CEO of Mitel Networks;

• the

  resignation

  of Jeffrey Kalb, CEO of California Micro Devices; and

• job loss announcements

  from Adrenaline Group, Antec, Art Technology Group, Avanex, Cisco, Convergent Comms Services, Critical Path, Cyberian Outpost.com, Eastman Kodak, Eircom, Ericsson, Esterline Technologies, Hewlett-Packard, Kana Comms, Lan Research, Loudeye Technologies, Macromedia, Marconi, NCR, Network Engines, Nuance Comms, Paradyne Networks, Philips Electronics, PricewaterhouseCoopers, PSINet, Pumatech, Scient, SGI, Siebel Systems, Texas Instruments, Tibco Software, Viador and Yahoo.

We saw excellent figures from Actuate, Celestica, China Mobile (Hong Kong), Cognizant Technology, Digital Lightwave, eBay, Infosys Technologies, Internet Security Systems, Ixia, Juniper Networks, Linear Technology, McData, Mercury Interactive, MetaSolv, Micromuse, Oberthur, Rambus (back in the black), Scientific Atlanta, Siebel Systems (back in the black), Wipro and Xilinx.

Good numbers were recorded by 3D Systems, Advanced Power Technology, Advent Software, Applied Innovation, ARM Holdings, AsiaInfo (back in the black), Atmel, AVX, BEI Technologies, Benchmark Electronics, Blue Wave Systems, Boston Comms Group, Business Objects, CACI, Cadence Design Systems (back in the black), Catapult Comms, CDW Computer Centers, Cerner, Chartered Semiconductor Manufacturing (back in the black), Cryptologic, Datalink, Elantec Semiconductor, eLinear (back in the black), EMC, Emulex, GCI, Gentner Comms, Global Network, HighWave Optical Technologies, IDC, II-VI, Ims (back in the black), inTest, Insignia Systems (back in the black), Integic, International Game Technology, Internet Business`s International, KLA-Tencor, Landmark Systems, MapInfo, Matrix Integrated Systems (back in the black), Mercury Computer Systems, National Instruments, Newport, Parametric Technology (back in the black), Planar Systems, Plexus, ProactiveNet, Q Comm International, RADVision (back in the black), RSA Security, S&T System Integration & Technology Distribution AG, Sanmina, SAP, SBS Technologies, STMicroelectronics, SunGard Data Systems, Synplicity (back in the black), Systran, Tekelec (back in the black), Tellabs, Tetra Tech, Tidal Software, TriQuint Semiconductor and Veeco Instruments (back in the black).

Satisfactory results came from ACS, ADP, Advanced Fibre Comms, Bell & Howell, BellSouth, Ceridian, Computer Services, Equifax, First Data, General Cable, Harris (back in the black), IBM, Itron, Microsoft, Molex, Nanometrics, NCR (back in the black), Nokia, ROFO, Rogers, SafeNet, SDRC, Spectrian (back in the black), SSGI (back in the black), Sybase, Telephone & Data Systems, Teradyne, Three-Five Systems and Tollgrade Comms.

Mediocre returns came from Adtran, Altera, AMD, AMS, Andrew, Ansys, Apple, ATMI, Axcelis Technologies, Brooktrout, Casino Data Systems, Ciber, Citrix Systems, Cognex, CTS, Cypress Semiconductor, Eastman Kodak, Electronics For Imaging, Embercadero Technologies, Ericsson, Excel Technology, Hynix Semiconductor, IdeaMall, InFocus, Inforte, infoUSA (but back in the black), INRANGE Technologies, Insituform Technologies, Intel, Iomega, Jaco Electronics, JDA Software Group, Lan Research, Lattice Semiconductor, Media General, Micrel, MIPS Technologies, NetSolve, Office Depot, OneSource Information Services, Overland Data, PanAmSat, PC Connection, Philips Electronics, Photon Dynamics, Pitney Bowes, Rational Software, Read-Rite, Sawtek, Silicon Storage technology, Swisscom AG, Symmetricom, Texas Instruments, TranSwitch, TRW, TyCom, Unisys, US Cellular, Viad, Vicor, VISX, Xerox (back in the black) and Zoran.

Very poor results came from Aerovox, Bell Microproducts, Cimetrix, Digi International (but back in the black), ECCS (but back in the black - just), IKOS Systems, Impreso.com, Inet Technologies, Pervasive Software, PLX Technology, SSGI and Timberline Software.

Losses were reported by ActionPoint, Akamai, Allied Riser Comms, Alternative Resources, AOL Time Warner, Ariba, Artesyn Technologies, Artisan Components, ASC, Aspect Comms, Auspex, Auxinet Plc., Avici Systems, Avid, Avistar Comms, Avocent, BrightStar Information Technology Group, Broadbase Software, Broadcom, Broadwing, C-COR.net, CAIS Internet, Carrier Access, Catalyst International, Centillium Comms, Centra Software, Clarent, Classic Comms, Click2learn, Com21, Commerce One, Commodore Applied Technologies, Comshare, Concord Comms, Conexant, Copper Mountain Networks, CoreComm, Cree, CTG, Cyberian Outpost, CyberSource, Cylink, Data Critical, Digimarc, Digital Lava, Digital Power, Documentum, DoubleClick, Dynacore Holdings, E.piphany, E-Sync Networks, E*Trade Group, Eagle Broadband, EarthWeb, Equinix, Evans & Sutherland, Evolving Systems, Exabyte, eXcelon, Extreme Networks, F5 Networks, FileNET, Gartner, Gateway, General Semiconductor, Giga Information Group, Hifn, HNC Software, Hutchinson Technology, i2 Technologies, iExalt, Informatica, Information Resources, Inktomi, Intasys, inSilicon, InsWeb, Interactive Intelligence, Interlinq, Interphase, Intevac, Intrusion.com, iQrom Comms, Kana Comms, Komag, Korea Thrunet, Lattitude Comms, Leap Wireless International, Legato Systems, Level 3 Comms, Marimba, McAfee.com, MCMS, Mercator, Merisel, Metricom, Micro Linear, Microtest, MindArrow Systems, Motorola, Natural MicroSystems, NCT Group, NDC Automation, Neoware, net.com, NetManage, NeTrue Comms, Network Associates, Network-1 Security Solutions, New Era of Networks, Next Level Comms, Nortel Networks, Nuance, Numerical Technologies, Nx Networks, Omtool, ONI Systems, OnLink Comms, OpenWave, OnLink Comms, Optika, Outpost.com, Perle Systems, Phoenix Technologies, Pivotal, Pixelworks, Pliant Systems, PMC-Sierra, Polaroid, Powerwave Technologies, PRI Automation, Primix, Primus Knowledge Systems, ProtoSource, Proxim, PSC, PSINet, RadiSys, Rainmaker, RealNetworks, Redback Networks, Research In Motion, Retek, RF Micro Devices, Rogers Comms, Rogers Wireless Comms, Rogue Wave Software, SanDisk, SCT, Secure Computing, Segue Software, Sierra Wireless, Silicon Graphics, Silicon Image, Sipex, SmartForce, SofTech, SOHU.com, SonicWALL, Sonus Networks, SpatiaLight, Sprint, Stamps.com, Startec Global Comms, StorageNetworks, Support.com, Syntellect, T-NETIX, Talarian, Telemate.Net Software, Telescape International, TMSSequoia, Transmeta, Trident Microsystems, Turnstone Systems, Verilink, Veritas Software, VI Group Plc., Viatel, Vicom, Visual Networks, Vital Images, Vitesse Semiconductor, WatchGuard Technologies, WebEx, Xicor, Yahoo! and Zamba Solutions.

Other financial news included profit warnings from Aetna, Amazon.com, Analog Devices, Apropos Technology, AT&T, Avanex, Axcelis Technologies, Baltimore Technologies, Brocade Comms Systems, Cisco, CMG, Conexant Systems, Credence, Cypress Semiconductor, Daleen Technologies, Elantec Semiconductor, EMC, Emulex, Ericsson, Esterline Technologies, Excite At Home, FfastFill, Foundry Networks, GenRad, Handspring, HP, Hummingbird, Ibis Technology, Juniper Networks, Kalamazoo Computer Group, Kana Comms, Loudeye Technologies, Luminex, Marimba, Mercator, Metro Information Services, Microsoft, Network Appliance, Network Associates, Network Engines, Nuance Comms, Philips Electronics, ProsoftTraining.com, Pumatech, Read-Rite, Sagem, SanDisk, Sawtek, Scient, SGI, Siebel Systems, Sybase, Tibco Software, Unisys, Vignette and Yahoo.

There was also a share split announcement from Symbol Technology; a satisfactory IPO from Marlborough Stirling (LSE); and a withdrawn IPO from Sitara Networks. Additionally, UK-listed VI Group and Navigation Technologies (80% Philips Electronics-owned) are preparing for US listings later this year; PSINet nears bankruptcy; Winstar has filed for bankruptcy; and Convergent Comms, Convergent Comms Services, MarchFirst and Xpedior have filed for Chapter 11 bankruptcy relief.

Locally

Acuity (+58%)
Bryant (-50%)
Explorer (+100%)
Idion (+88%)
IST (+46.9%)
Oxbridge (-50%)
Pinnacle (+50%)
Prism (+30.1%)
SecureData (-30%)
Siltek (+45.5%)
Y2KTec (-50%)

Internationally

Applied Micro Circuits (+119.1%)
BroadVision (+114.8%)
Digital Lightwave (+171.7%)
Inktomi (+172.6%)
Meta Group (+197.1%)
PMC-Sierra (+125,5%)
Proxicom (+120.2%)
RF Micro Devices (+193.3%)
Serena Software (+123.6%)
Terayon Comms (+116.7%)
TriQuint Semiconductor (+122.8%)
Vixel (+129%)

To have in excess of 1.5% of companies more than doubling their share price over the last two-week period, from out of the 1 000 or so companies that I track on a regular basis, is simply amazing; it`s something I don`t remember seeing before.

As I`m in the US this week, the next issue of Booth`s Bites will be published on 7 May, by which time we will be into the middle of the numerous quarterly result announcements.