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PARIS (AP) -- A sell-off of underperforming units helped Alcatel SA swing to a net profit in the second quarter, the company said Thursday, delivering an upbeat third-quarter revenue forecast boosted by land line and U.S. operations.
The Paris-based telecoms equipment maker said net profit was 23 million euros ($28 million) in the three months ending June 30, compared with a 675 million euro loss in the year-earlier period.
But revenue fell to 3.08 billion euros ($3.71 billion) from 3.15 billion euros, falling short of analysts' expectations of 3.12 billion euros($3.76 billion). Excluding the effect of selloffs, revenues rose 3.7 percent.
Alcatel shares fell 6.7 percent in morning trading before recovering to 10.93 euros ($13.17) by early afternoon -- 1.1 percent below Wednesday's close.
The company said a cost-cutting program and the sale of two unprofitable optical fiber and battery units helped the bottom line. The net loss in 2003 included a goodwill amortization writedown of 115 million euros.
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