LOS ANGELES – 3Com Corp. on Thursday reported a net loss for its first quarter that was narrower than a year ago, as sales increased mainly due its joint venture with China’s Huawei Technologies Co. Ltd.
But results missed analysts’ estimates and its shares fell nearly 4 percent in after-hours trading.
For the fiscal first quarter ended September 1, the communications network equipment maker had a net loss of $14.1 million, or 4 cents per share, compared with its net loss of $42.0 million, or 11 cents per share, in the year-earlier quarter.
Sales rose 69 percent to $300.1 million, from $177.6 million.
The results fell short of analysts’ average estimates, which called for a 3-cent per share net loss on revenue of $311.7 million, according to Reuters Estimates.
3Com already owns 51 percent of the China-based venture Huawei-3Com.
Under the terms of their agreement both 3Com and Huawei each has the right, starting on November 15, to start a bid process to buy the others equity interest in the venture.
Shares in 3Com, which closed up 16 cents to $4.56 on the Nasdaq, fell to $4.38 in after-hours trade.