Close
  • Latest News
  • Artificial Intelligence
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
Read Down
Sign in
Close
Welcome!Log into your account
Forgot your password?
Read Down
Password recovery
Recover your password
Close
Search
Logo
Logo
  • Latest News
  • Artificial Intelligence
  • Big Data and Analytics
  • Cloud
  • Networking
  • Cybersecurity
  • Applications
  • IT Management
  • Storage
  • Sponsored
  • Mobile
  • Small Business
  • Development
  • Database
  • Servers
  • Android
  • Apple
  • Innovation
  • Blogs
  • PC Hardware
  • Reviews
  • Search Engines
  • Virtualization
More
    Home Latest News

      Genuity Asset Charges Hit Bottom Line

      By
      Matt Carolan
      -
      February 7, 2002
      Share
      Facebook
      Twitter
      Linkedin

        Genuity, Inc. reported a fiscal fourth quarter loss Thursday, based on a large one-time charge for assets devalued by overcapacity in the networking market.

        The Woburn, Mass e-business network provider said that it recorded a special charge of $2.7 billion in the quarter, $2.6 billion of which was a non-cash charge to reflect a decrease in the market value of certain network-related assets. Minus the charges the company met its fiscal guidance for the quarter.

        “Our industry has experience a dramatic change over the last year, coalescing in a recognition that the companys ability to recover the value of assets put in place in recent years to deliver IP services, was becoming increasingly difficult,” said Genuitys chief financial officer Daniel OBrien, in a conference call with analysts on Thursday. “Our review, and that of outside experts, concluded that given these conditions, the assets directly associated with our dial and international access segments, as well as the underlying shared transport infrastructure, the fiber, optical electronics and POP infrastructure carrying data for customers are no longer supported by the project future cash flows from those segments.”

        Net loss for the quarter was $3.01 billion, or $13.52 a share, compared with a net loss of $284.1 million, or $1.48 a share in the same period one year ago.

        Pro forma net loss per share, which excluded the special charges was 30 cents. Analysts surveyed by Thomson Financial/First Call were expecting a loss of 31 cents per share.

        Revenue for the quarter was $316 million, up one percent from the previous quarter.

        Genuity predicted a decrease in revenue for its fiscal first quarter 2002 to $280 to $290 million, resulting from the companys departure from the wholesale dial access business and the continuing slow economic climate.

        Genuity announced it is dropping all but two wholesale dial access customers, Verizon and America Online. However, it will continue to deliver dial access service to enterprise customers as part of integrated service offerings.

        Matt Carolan
        Get the Free Newsletter!
        Subscribe to Daily Tech Insider for top news, trends & analysis
        This email address is invalid.
        Get the Free Newsletter!
        Subscribe to Daily Tech Insider for top news, trends & analysis
        This email address is invalid.

        MOST POPULAR ARTICLES

        Latest News

        Zeus Kerravala on Networking: Multicloud, 5G, and...

        James Maguire - December 16, 2022 0
        I spoke with Zeus Kerravala, industry analyst at ZK Research, about the rapid changes in enterprise networking, as tech advances and digital transformation prompt...
        Read more
        Applications

        Datadog President Amit Agarwal on Trends in...

        James Maguire - November 11, 2022 0
        I spoke with Amit Agarwal, President of Datadog, about infrastructure observability, from current trends to key challenges to the future of this rapidly growing...
        Read more
        IT Management

        Intuit’s Nhung Ho on AI for the...

        James Maguire - May 13, 2022 0
        I spoke with Nhung Ho, Vice President of AI at Intuit, about adoption of AI in the small and medium-sized business market, and how...
        Read more
        Cloud

        IGEL CEO Jed Ayres on Edge and...

        James Maguire - June 14, 2022 0
        I spoke with Jed Ayres, CEO of IGEL, about the endpoint sector, and an open source OS for the cloud; we also spoke about...
        Read more
        Applications

        Kyndryl’s Nicolas Sekkaki on Handling AI and...

        James Maguire - November 9, 2022 0
        I spoke with Nicolas Sekkaki, Group Practice Leader for Applications, Data and AI at Kyndryl, about how companies can boost both their AI and...
        Read more
        Logo

        eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site’s focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

        Facebook
        Linkedin
        RSS
        Twitter
        Youtube

        Advertisers

        Advertise with TechnologyAdvice on eWeek and our other IT-focused platforms.

        Advertise with Us

        Menu

        • About eWeek
        • Subscribe to our Newsletter
        • Latest News

        Our Brands

        • Privacy Policy
        • Terms
        • About
        • Contact
        • Advertise
        • Sitemap
        • California – Do Not Sell My Information

        Property of TechnologyAdvice.
        © 2022 TechnologyAdvice. All Rights Reserved

        Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.

        ×