Compaq Computer has announced a year-end profit of $1US.9 billion for 1997, up from $1.3 billion in 1996.
Diluted per-share earnings for 1997 were $2.37 a share (or $1.19 per-share taking into account the stock split on Jan. 20) excluding non-recurring charges incurred for research and development and merger-related costs, the company said.
Despite a slowdown in the Asian market, the computer maker reported strong 1997 worldwide sales of $24.6 billion, compared with $20 billion in 1996.
Compaq's fourth-quarter net profit was $667 million, up 37% over the $487 million reported during the same period last year. Diluted earnings per share were 84 cents for the fourth quarter, or 42 cents per share post-stock split, compared with 63 cents per share in the fourth quarter of 1996, the company said.
Revenues for the fourth quarter, ending Dec. 31, 1997, were $7.3 billion, a 23 percent increase over last year, Compaq said. Sales of corporate servers, workstations, clustering technology, storage products and massively-parallel systems accounted for 37 percent of overall sales in the fourth quarter, the company said.
The company is confident that it can continue its success through 1998, Compaq said in a statement, adding that it plans to increase its focus on enterprise computing.