AT&T earned $11.30 billion, or $3.13 per share, for the three months ended Sept. 30 -- a gain completely due to the company's $13.5 billion after-tax gain from its spin off of AT&T Wireless in July. Excluding the gain, as well as several other one-time gains and losses, AT&T earned 4 cents per share -- meeting ex pectations of analysts surveyed by Thomson Finan cial/First Call, but a far cry from last year's 35 cents per share. AT&T did not provide an equivalent dollar amount. Continuing operations at AT&T came in at a loss of 69 cents per share, in large part due to a $3.5 billion charge to the dissolution of its Concert joint venture with British Telecom and a $1.8 billion charge against the company's stake in AT&T Canada. Over all revenues fell 7.7 percent to $13.09 billion from $14.18 billion. The company's cable business, AT&T Broadband, reported revenue growth of 15.2 percent over the year-ago quarter. But those gains were eaten away by declines in the carrier's consumer and busi ness long distance divisions as well as the overall eco nomic downturn. Earnings in consumer long distance dropped 17.8 percent, with business long distance down almost 5 percent.< AT&T Wireless, in its first quarter since splitting off from AT&T Corp., saw a slight profit and beat Wall Street's expectations. The cellular phone service provider said Tuesday that for the quarter ended Sept. 30, it had net income of $77 million, or 3 cents a share, compared with a loss of $21 million, or 1 cent a share, in the year-ago period. The year-ago figure included a hefty $42 million dividend to AT&T shareholders. Without the dividend, the company had income of $21 million. Analysts polled by Thomson Financial/First Call were predicting a loss of 2 cents a share for the quarter. Revenue rose 25 percent to $3.5 billion, from $2.8 billion in the same period last year.
Exxon Mobil Corp.'s third-quarter profit declined 29 percent, missing Wall Street expectations. Revenue fell nearly 10 percent from a year ago. Exxon Mobil said net income fell to $3.18 billion, or 46 cents per share, down from $4.49 billion, or 63 cents per share, in last year's third quarter. Those figures included $140 million in costs related to the Exxon-Mobil merger, and $200 million in gains last year from sales of assets forced by the merger. Excluding those and other one-time items, profits fell about 23 percent to $3.32 billion, or 48 cents per share, from $4.29 billion, or 60 cents per share, a year earlier, the company said. On that basis, the results fell short of the 50 cents per share expected by analysts surveyed by Thomson Financial/First Call. Revenue totaled $53.01 billion, down from $58.57 billion a year ago.
Xerox Corp. posted a third-quarter loss of $211 million, but said Tuesday it remains "cautiously optimistic" about returning to profitability in the next quarter for the first time in more than a year. Revenue dropped 13 percent, hurt by the weak economy and the Sept. 11 attacks, which hurt sales during what is traditionally the strongest weeks of the quarter for the company, Xerox said. The loss of 29 cents per share for the three months ended Sept. 30 compared with a loss of $191 million, or 30 cents per share, in the third quarter last year. It was Xerox's fifth consecutive quarterly loss. Excluding one-time gains and losses, the third-quarter loss was $175 million, or 24 cents per share. That matched the recently lowered consensus estimate of analysts surveyed by Thomson Financial/First Call. The consensus estimate had been a loss of 12 cents a share until Xerox warned earlier this month that its losses would be greater. Revenue for the quarter was $3.9 billion, down from $4.5 billion in the same period last year.
Compaq Computer Corp., in its first quarterly earnings report since last month's announcement that it was being bought by Hewlett-Packard Co., swung to a hefty loss in the third quarter, missing analysts' already lowered estimates. The company also predicted a tough fourth quarter. Houston-based Compaq posted a net loss of $499 million, or 29 cents per share, compared with profits of $557 million, or 31 cents per share, in the third quarter of 2000. Excluding $379 million in losses on its investment in incubator CMGI Inc., the company lost $120 million, or 7 cents per share, on the low end of a warning it issued Oct. 1, when the company said it expected a third-quarter per-share loss between 5 cents and 7 cents. The consensus among analysts surveyed by Thomson Financial/First Call was a 6-cent loss for the quarter that ended Sept. 30. Revenues fell 33 percent to $7.48 billion and were below analysts' expectations of $7.53 billion.
DaimlerChrysler AG said Tuesday that its net income fell 70 percent in the third quarter, but analysts welcomed the company's progress in cutting costs and losses at its struggling Chrysler division in the United States. For the three months ended September, DaimlerChrysler earned 902 million euros ($802 million), compared with 3.01 billion euros a year earlier as the company struggled to maintain sales in the United States after the Sept. 11 terrorist attacks. But profit fell only 13 percent when one-time factors such as a share swap involving its stake in the aerospace firm EADS were excluded. And operating profit unexpectedly rose 19 percent to 666 million euros ($592.7 million) from 540 million euros. Analysts had forecast overall operating profit -- which excludes interest and tax bills -- of about 350 million euros ($312 million), according to a survey by Dow Jones Newswires. Chrysler's deficit for the quarter narrowed to 267 million euros ($238 million) from 579 million euros a year earlier. The company's Mercedes-Benz division remained a mainstay, bringing in 807 billion euros ($718 million) in operating profit, an increase of 9 percent.
Lucent Technologies posted an $8.8 billion loss for the fourth fiscal quarter due to a whopping $8 billion in special charges and a 28 percent drop in revenue. Even without the charges, its operating results were worse than Wall Street expected. The telecommunications equipment maker's loss amounted to $2.18 per share for the three months ended Sept. 30, versus a net loss of $484 million, or 9 cents per share, a year ago. The latest loss included charges for severance and other benefits for laid-off workers and others who took voluntary retirement, write-offs of discontinued and obsolete inventory and write-offs of plants, equipment and property no longer needed. Excluding the charges, Lucent reported a loss of $909 million, or 27 cents per share, for the quarter. That was larger than the forecast of analysts surveyed by Thomson Financial/First Call, who expected a loss of 23 cents per share. Sales for the 2001 fourth quarter totaled $5.2 billion, down from $7.2 billion a year earlier.