S-A launches new modem to 'solid' Q2 results
No dust gathering here — Scientific-Atlanta unveiled an addition to its WebSTAR cable modem line, weighed in on a solid second quarter and landed a new member in its CreativeEdge Developer Program.
S-A says its DOCSIS 1.0- and 1.1-certified WebSTAR DPX 100 cable modem is ready to fly, and includes a faster microprocessor than previous models. It lets consumers self-install the modem and connect it to cable TV or Ethernet lines as needed.
No word on when it hits the market, and S-A representatives couldn't be reached by CEDaily's deadline.
The new cable modem also features a smaller design than before; comes with WebWizard, a browser-based online status indicator; includes cable modem access protection for online privacy; uses enhanced bi-directional performance in data throughput; and supports up to 32 users via one USB and 31 Ethernet ports. S-A says it also mounts vertically or horizontally.
Separately, S-A's second quarter sales reached $418.2 million — down from the $631.4 million it reported for the same time last year, but only slightly. The company reports $39.2 million, or 25 cents a basic share, in net earnings, which didn't reach last year's $70.8 million, or 44 cents a basic share, but was slightly better than the first quarter's $37.1 million, or 23 cents a share. S-A says earnings reflect such items as pre-tax expenses from restructuring operations and a pre-tax gain from investments.
The company reported a gross margin of 33.4 percent of sales, up 2.6 points from a year ago and 1.4 points from first quarter, a growth S-A credits to product cost cuts. It finished the quarter with $534 million in cash and cash equivalents.
S-A appears to be keeping its results in perspective. "In light of the current domestic recession, we had a solid quarter, Says Chair and CEO Jim McDonald, in a statement. "In this environment, we have continued to manage our expenses very carefully. The current downturn is an opportunity for us to strengthen our competitive position as we continue to make both internal investments in new products and external investments in acquisitions."
Finally, S-A reports that InformTV joined its CreativEdge Developer Program. The new member created InformTV Sports 1.0, an application that makes sports scores, statistics and information available on cable channels, independent of any content.
As a program member, S-A will help with development, testing and integration of InformTV's product. S-A launched the program to help developers integrate, test and launch new interactive services for its Explorer digital interactive set-tops.