Alcatel-Lucent Q1 revenues grow by 15%

Alcatel-Lucent has reported that its Q1 revenues grew by 15.2 percent to US$5.44 billion compared to the year-earlier period.

Networks operations saw a strong year-on-year increase as all divisions grew their turnover.

Wireless revenues rose by nearly 34 percent, driven by sales of WCDMA, CDMA EV-DO and LTE equipment.

IP revenues rose by over 20 percent. Geographically, North American growth was up 40 percent on the first quarter of 2010 and accelerated vis-a-vis the fourth quarter of last year.

Revenues in Europe were down 1 percent, with sales in Western and Eastern Europe declining at about the same rate. China helped the Asia-Pacific achieve some growth despite lower sales in the rest of the region.

Sales in Brazil and Mexico drove rest of world sales, which were increased in the low double digits on the first quarter of 2010. Alcatel-Lucent reported a US$18.92 million adjusted operating profit in its latest period, compared with a US$283.86 million operating loss in the first quarter of the previous year, when it was hit by a sluggish world market and components shortages.

Its gross margin benefited from a good geographical and product mix, reaching 36.2 percent in the quarter, compared to 32.6 percent in the year-earlier period and 36.2 percent in the fourth quarter of last year.

The company explains the sequential stability in gross margin by the better product and geographical mix compensating for lower volumes.

Alcatel-Lucent reported a US$14.55 million net loss (group share), including a US$10.44 million one-time gain related to its management pension plan in the US. This compares to a year-earlier loss of US$794.68 million.

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