Lucent Technologies reported Wednesday a small gain in revenue, but a 49 percent drop in profits in its first quarter report.
The telecommunications equipment manufacturer reported revenue for the quarter of $2.34 billion " up 3.4 percent from $2.26 billion in the year-earlier quarter. Net income of $174 million, or four cents a share, was reported for the quarter. Last year, Lucent earned $349 million in the first quarter.
"While the wireline market remains a challenge in the near term," said Chief Executive Patricia Russo in a statement. "we continue to execute on a long-term strategy of investing in areas that are critical to our vision of convergence such as next-gen optical, VoIP, broadband access, and mobile high-speed data, as well as services, government and emerging markets."
Russo also highlighted Lucent's $1.5 billion contract with Sprint to enhance its wireless network as a bright spot in its business.