Compaq kept a deathly silence this week over its first quarter results. which showed a tiny profit and no optimism for the immediate future.
For the first quarter ended 31 March, Compaq made a $16 million profit on revenue of $5.69 billion. This compares to a $414 million profit last year on slightly lower revenue of $5.27 billion. It was also a significant drop on the previous fourth quarter's profits of $667 million.
"It will take a quarter of adjustment to put the company's core business on a track of improved profitability. Our asset management progress continues," stated Earl Mason, chief financial officer.
Other than the official statement that accompanied the results, no one from the company was willing to comment on the quarter, conveniently claiming the Fifth Amendment because of the silent period related to the acquisition of Digital Equipment.
"The second quarter, while a period of adjustment, will also be the time the company repositions itself with almost a complete new product line," stated Eckhard Pfeiffer, president and chief executive.
According to the statement, sales channels remain saturated despite the numerous special offers that have helped increase sales - but at poor margins. The company said it expected up to a 20 per cent growth in PC sales this year. The company continues its shift to a build-to-order strategy - what it calls the Optimised Distribution Model.
Cotton seedling freezes to death as Chang'e-4 shuts down for the Moon's 14-day lunar night
Fortnite easily out-earns PUBG, Assassin's Creed Odyssey and Red Dead Redemption 2 in 2018
Meteor showers as a service will be visible for about 100 kilometres in all directions
Saturn's rings only formed in the past 100 million years, suggests analysis of Cassini space probe data
New findings contradict conventional belief that Saturn's rings were formed along with the planet about 4.5 billion years ago