Nortel Networks reported greater than expected first quarter losses, but said it still expects to meet its full-year projections. The telecom equipment maker posted a loss of $138 million, or 28 cents a share, compared with a loss of $103 million, or 23 cents a share, for the same quarter last year. Losses for the quarter were up from its fourth quarter, when it posted a loss of $844 million, or $1.70 a share.
The company said losses this quarter were due in part to a series of 1-time items, including $88 million for restructuring, $12 million in a patent lawsuit settlement and a loss of $19 million due to changes in foreign exchange rates. Excluding those charges, the company said it only lost 5 cents per share, less than average expectations of 14 cents.
Sales were $2.76 billion, up 11% from a year ago.
Despite its quarterly losses, Nortel said it still expects to achieve revenue growth in the low single digits for the full fiscal year.