Menu
29/05/2003
Marconi remains under intense pressure
Marconi’s latest financial figures have revealed a picture of declining sales for the troubled telecommunications technology company.
The firm, which has recently undergone a radical and highly complex restructuring programme, continues to face what was described as a “very tough” set of market conditions.
Marconi expect sales in its first financial quarter, April to June this year, to be under £400 million, down on the company’s last financial quarter performance of £426 million.
As a result the company, which employs 5,000 workers in the UK, announced that it would be further reducing its total worldwide workforce to 13,000.
Reporting a pre-tax loss of £599 million in the year up to March 2003, Marconi’s losses were down from £674 million in the previous accounting year. However, sales fell by 32% to £1.87 billion, down from £2.78 million on the previous financial year, a performance that Marconi attributed to “the result of significantly lower levels of capital expenditure by public network operators worldwide”.
Though the company reported that a cost cutting programme meant that the sales target from the next financial year had been reduced from £1.7 billion to £1.5 billion for the company to reach break-even point.
Commenting on the past year, John Devaney, Chairman of Marconi Corporation, said: "The successful completion of the financial restructuring was a watershed for the business. It enables us to look forward with greater optimism than at any time since the downturn in our markets started two years ago."
Mike Parton, Marconi’s Chief Executive, said the company had continued to make “operational progress quarter on quarter” in core business.
He said that this had been achieved during the final quarter as a result of improving margins and falling costs: “This is a tangible demonstration that the actions we are taking to return the business to operational health are working. Our markets remain very tough and we will continue to take the actions necessary to build on this improved operational performance."
The company predicted that the current tough marking conditions looked set to continue.
The restructured Marconi saw its shares re-introduced to the London Stock Exchange earlier in May.
The complex restructuring plan reduced the company’s external debt by £808 million to £3.9 billion.
(SP)
The firm, which has recently undergone a radical and highly complex restructuring programme, continues to face what was described as a “very tough” set of market conditions.
Marconi expect sales in its first financial quarter, April to June this year, to be under £400 million, down on the company’s last financial quarter performance of £426 million.
As a result the company, which employs 5,000 workers in the UK, announced that it would be further reducing its total worldwide workforce to 13,000.
Reporting a pre-tax loss of £599 million in the year up to March 2003, Marconi’s losses were down from £674 million in the previous accounting year. However, sales fell by 32% to £1.87 billion, down from £2.78 million on the previous financial year, a performance that Marconi attributed to “the result of significantly lower levels of capital expenditure by public network operators worldwide”.
Though the company reported that a cost cutting programme meant that the sales target from the next financial year had been reduced from £1.7 billion to £1.5 billion for the company to reach break-even point.
Commenting on the past year, John Devaney, Chairman of Marconi Corporation, said: "The successful completion of the financial restructuring was a watershed for the business. It enables us to look forward with greater optimism than at any time since the downturn in our markets started two years ago."
Mike Parton, Marconi’s Chief Executive, said the company had continued to make “operational progress quarter on quarter” in core business.
He said that this had been achieved during the final quarter as a result of improving margins and falling costs: “This is a tangible demonstration that the actions we are taking to return the business to operational health are working. Our markets remain very tough and we will continue to take the actions necessary to build on this improved operational performance."
The company predicted that the current tough marking conditions looked set to continue.
The restructured Marconi saw its shares re-introduced to the London Stock Exchange earlier in May.
The complex restructuring plan reduced the company’s external debt by £808 million to £3.9 billion.
(SP)
Related UK National News Stories
Click here for the latest headlines.
03 June 2003
Emergency lighting dims as British Energy reports £4.29bn loss
British Energy has announced dismal pre-tax losses of £4.29 billion for the year ending March 2003 - compared to £493 million losses in 2001-2002.
Emergency lighting dims as British Energy reports £4.29bn loss
British Energy has announced dismal pre-tax losses of £4.29 billion for the year ending March 2003 - compared to £493 million losses in 2001-2002.
02 April 2004
Marks & Spencer poised to axe 1,000 jobs
Under restructuring plans announced on Friday, Marks & Spencer is to axe around 1,000 jobs following a review of head office operations and the financial services division. The company said the decision formed a "major part of Marks & Spencer's ongoing plan to accelerate business transformation".
Marks & Spencer poised to axe 1,000 jobs
Under restructuring plans announced on Friday, Marks & Spencer is to axe around 1,000 jobs following a review of head office operations and the financial services division. The company said the decision formed a "major part of Marks & Spencer's ongoing plan to accelerate business transformation".
02 February 2010
Over Six Million File Tax Online
A record number of taxpayers filed their Self Assessment tax returns online this year, HM Revenue & Customs (HMRC) revealed today. A total of 6,429,899 people filed online by the 31 January deadline – three quarters of all returns submitted. This represents an increase of nearly 12% on the 2009 total, when around 5.
Over Six Million File Tax Online
A record number of taxpayers filed their Self Assessment tax returns online this year, HM Revenue & Customs (HMRC) revealed today. A total of 6,429,899 people filed online by the 31 January deadline – three quarters of all returns submitted. This represents an increase of nearly 12% on the 2009 total, when around 5.
24 June 2005
NHS facing £140 million deficit
The NHS is likely to be in deficit by about £140 million, according to the latest government figures. Unaudited figures collected by the Department of Health also showed that NHS Foundation Trusts carried around £30 million of the deficit. Health Secretary Patricia Hewitt stressed that the deficit represented about 0.
NHS facing £140 million deficit
The NHS is likely to be in deficit by about £140 million, according to the latest government figures. Unaudited figures collected by the Department of Health also showed that NHS Foundation Trusts carried around £30 million of the deficit. Health Secretary Patricia Hewitt stressed that the deficit represented about 0.
17 June 2003
'Good progress' but FSA reveals pensions deficit
In its annual report today, the Financial Services Authority (FSA) has said despite a difficult financial year it has made a "significant contribution" to maintaining market confidence and securing appropriate consumer protection.
'Good progress' but FSA reveals pensions deficit
In its annual report today, the Financial Services Authority (FSA) has said despite a difficult financial year it has made a "significant contribution" to maintaining market confidence and securing appropriate consumer protection.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
