Sales of hand-held computers have buoyed 3Com's second-quarter results, after its systems products suffered a 12 per cent fall in sales from the previous quarter.
Turnover for the quarter ended 26 November was $1.47bn (£900m), down four per cent on the same quarter a year ago. Operating profit excluding one-off items was $131m, against $133m a year ago. Sales of hand-held computers increased by half on its first quarter.
Eric Benhamou, 3Com's chief executive, said: "We continue to make progress on all key fiscal 2000 objectives: refining our strategy, transforming our growth profile and streamlining operations."
Benhamou pointed to recent progress in 3Com's e-networks strategy with the acquisition of US Internet business consultancy Interactive Web Concept to bolster its e-business consulting services, and its global alliance with US Web/CKS to jointly develop and market Internet products.
Benhamou also said he was pleased to see 3Com gaining momentum in several emerging high-growth markets, including wireless GSM products, LAN telephony and broadband cable and DSL modems.
3Com recently sold its manufacturing operations in Utah and announced plans to build a supply chain integration centre in Dublin. By decreasing inventory levels and reducing its cash conversion cycle to 28 days, cash and short-term investments grew to more than $2bn during the quarter, it said.
3Com has also begun shipping its HomeConnect products, co-branded with Microsoft, which connect computers at 10Mbps using phone-line jacks. The technology is based on the forthcoming HomePNA 2.0 standard.
Cheshire-based ISDN specialist Accoda has bought Cabletron's Fivemere ISDN back-up division and signed a three-year support agreement. Ralph Reynolds, managing director of Accoda, said Fivemere's products are suitable for specialist resellers keen to go beyond the ISDN functionality of major vendors.
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