Alcatel-Lucent Profit Rises as Cost Reductions Take Hold
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Alcatel-Lucent SA predicted a full-year profit margin that shows the French network-equipment maker’s turnaround plan is taking hold.
Gross margin, or revenue minus production costs, will be 34 percent of sales or “slightly more” in 2015, Chief Executive Officer Michel Combes said during a conference call on Friday. That compares with 34.7 percent in the fourth quarter, and 33.8 percent projected by analysts for this year. Exane BNP Paribas analyst Alexander Peterc called the reported margin “solid” in a note to clients.