Telecom equipment maker Marconi Corp saw its losses decline in the year to March but warned of a further sales decline.
Marconi Corp, resurrected from the near collapse of Marconi Plc, recorded an underlying pretax loss of £1.328 billion sterling for the year, compared with £5.865 billion last time.
Very tough market conditions led to single-digit declines in core sales quarter-on-quarter to £426 million in the three months to March 31st, and £1.874 billion for the year, down 32 per cent from a year earlier.
The company warned of "very tough" market conditions continue, adding it expects first quarter 2004 group sales to fall below £400 million .
As a result the group reduced its target annualised operating cost run-rate to below £425 million and core break-even sales were reduced to around £1.5 billion for 2004.
The company said it plans to achieve the targeted cost savings by cutting more jobs and other cost-cutting measures.
Marconi said it plans to cut another 500 jobs in the coming year, taking its total workforce to 13,000.
AFP