Scientific-Atlanta Inc. reported first-quarter sales of $311.6 million, a
24 percent drop from last year's $410 million, while earnings were $11 million
versus $37 million in the year-ago quarter.
The company recorded $8.7 million in pretax charges in the quarter for bad
debt and equity warrant adjustments, which would have produced earnings of $19.8
S-A cited continued capital-expenditure cuts for the revenue drop, but it
said its cost-cutting measures, including the elimination of 400 jobs, helped it
to boost earnings.
The vendor said it shipped 546,000 'Explorer' set-top boxes in the quarter,
including 60,000 to Cablevision Systems Corp. Time Warner Cable took delivery on
90,000 'Explorer 8000' boxes, while Cox Communications Inc. took delivery on
S-A's '3100HDTV' set-top.
S-A said 20 percent of all set-top shipments in the quarter were either the
8000 or the 3100.
The company also said it resumed shipments of subscriber
and transmission products to Adelphia Communications Corp. during the quarter.