Harris Write-down Results in Loss on Higher Revenues
Fiscal 2Q09 revenue in the Harris Broadcast Communications segment was flat compared to the previous year, at $163 million. Operating income was $12 million at a 7.4 percent margin, compared to $8 million the previous year.
Harris sold more transmission systems in the quarter, "driven by the over-the-air digital TV transition in the U.S. and Brazil," the company said. Infrastructure and networking solutions and workflow software was strong internationally, but offset by weak demand in North America.
Orders in the United States "slowed significantly" during the first half of Harris's fiscal 2009, ending Jan. 2, 2009. Conditions are expected to persist "during the next several quarters."
The international picture is rosier for Harris, which has several large pending projects, including orders for its ONE solution from Qatar, Iraq, India, Australia, Lebanon, Turkey, Nigeria, Russia, Bulgaria, Slovenia, Italy, Germany, Belgium, Switzerland, and Mexico.