C-Cor.net anticipates higher net sales for quarter

In a man-bites-dog scenario given today’s economy, C-Cor.net has advised that its net sales for the quarter ending December 28 will be about 10% higher than previous guidance of $52 million. With the higher sales, the company anticipates an operating loss of 4 to 6 cents per share compared to guidance of 7 cents per share.

Two things are driving the better business, said David Woodle, chairman/CEO. The first is the successful acquisition of ADC Communications cable assets.

“All the business we projected and maybe a little higher is coming true,” Woodle said. “It’s worked out very well. The integration in the ADC business is going as well as expected – if not better.”

A second factor is that the cable operators on whom C-Cor.net’s transmission systems business depends, are gearing up again with rebuilds they put on hold earlier in the year.

“They have end-of-year capital money for this year and they’re saying ‘Let’s get started,’” Woodle said. “They’re going to need to get the rebuild going next year, but they have some money in the plan, so let’s get started now.”

Woodle emphasized that the improved business forecast was not the result of any particular windfall.

“We didn’t get one order that came out of nowhere that was 5% or 10% of our business,” he said. “This was pretty broad-based. It was across products and it’s across customers.”