Advanced Fibre Communications, Inc. (AFC) (Nasdaq: AFCI), a provider of multiservice broadband solutions for the telecommunications industry, announced financial results for the second quarter ended June 30, 2001. Revenues for the quarter were $78,609,000, compared with $101,232,000 for the second quarter of 2000. For the first six months of 2001, revenues totaled $160,820,000, compared with $186,651,000 in the first six months of 2000.
Net income for the second quarter of 2001 was $7,864,000 or $.09 earnings per share (diluted). Net income included an $8,180,000 unrealized gain on trading securities. Without this non-operating item and the associated tax effect, the net income would have been $2,793,000 or $.03 earnings per share. Net income for the second quarter of 2000 was $9,313,000 or $.11 earnings per share (diluted). Net income included non-recurring charges, in conjunction with the acquisition of GVN Technologies, Inc., of $1,062,000. Without these charges, net income for the second quarter of 2000 would have been $10,014,000 or $.12 earnings per share (diluted).
Net income for the first half of 2001 was $157,815,000 or $1.89 earnings per share (diluted). Excluding the non-operating effect of our implementation of Statement of Financial Accounting Standards No. 133 (SFAS 133) and the unrealized gains on trading securities, the net loss would have been $2,572,000 or $.03 loss per share (diluted). Net income for the first half of 2000 was $37,684,000 or $.44 earnings per share (diluted). Excluding non-recurring acquisition charges and a gain from Marconi Communications Inc. (Nasdaq: MONI) as part of a settlement of litigation and the associated tax effect, net income would have been $.20 earnings per share (diluted) for the first half of 2000.
AFC President and Chief Executive Officer John Schofield commented, "It is too early to tell if we are through the worst of the slowdown that impacted AFC in the first half of this year, but I am cautiously optimistic. Our balance sheet continues to be a source of strength, with approximately $894 million dollars in cash and securities on a pre-tax basis. As I said last quarter, we are diligently controlling costs for the short term, while ensuring our products and technology remain capable of delivering the legacy voice services demanded by carriers today, and a seamless, cost-effective transition to a packet-switched data network of the future."
Headquartered in Petaluma, Calif., Advanced Fibre Communications, Inc. is a designer and manufacturer of broadband access solutions for the local loop.