More hell for networking companies

NEWS Two networking companies posted hefty losses yesterday as the telecoms equipment sector struggles to find its way out of the current slump. Redback Networks posted a $29.76m loss for the quarter, a huge drop from its $7.84m profit the 2001. The company's revenues were $40.2m, down from $114.5m for the same period last year, but slightly up from the previous quarter's $37m figure. Extreme Networks has posted a loss for last quarter as sales fell sharply on last year. The company lost $10.7m in the quarter ending 31 December, compared to the $8.1m profit for the same period 2001. Sales were $109.1m, in line with the company's targets but well below last year's $144.7m figure. Routers for enterprise networks are selling well, the company said, providing a bright spot in the gloom. Earlier in the week Juniper Networks also posted a big loss. The one spark of hope in sector is Cisco, who said that orders for December had met expectations. Cisco reports its results on 6 February.