Harmonic reports net loss

<%=company1%>, a major supplier of cable TV hardware, posted a net loss in income in its third quarter dogged by lagging sales to its core market.

The Sunnyvale, CA-based company reported a net loss of $4.6 million ($0.08 per share) for Q3, compared to net income of $7.7 million ($0.23 per diluted share) for the same quarter a year ago. The loss includes the effects of non-cash purchase accounting adjustments, amortization of goodwill and other intangibles and a charge for R&D

Although net sales were up $72.3 million, compared to $52.6 million for the same quarter a year ago, they marked a decrease from $80 million in the previous quarter. Harmonic officials attributed the decrease in a slowdown in sales from the company's worldwide cable customer base.

"While we are disappointed with the near-term slowdown in our BAN (Broadband Access Network) business, our worldwide base of cable customers continues to work closely with us to explore new deep fiber architectures and execute their long-term plans to upgrade and expand their broadband infrastructures," said Anthony J. Ley, Chairman, President and Chief Executive Officer, who added that Harmonic also expects to report a pro forma net loss for Q4 as well.

Edited by Tom Butts