 Marconi completed a major restructuring last year |
Telecoms equipment maker Marconi says it remains cautious despite a second successive increase in quarterly sales. The firm, which is recovering from near-bankruptcy, said sales rose 5% to �408m for the three months to the end of December.
The former industrial powerhouse, which axed 6,000 jobs after a disastrous move into telecoms, said fourth quarter sales would be flat or slightly higher.
Chief executive Mike Parton said customer spending remains tight.
Bonus scheme
The improved performance came despite the negative impact of the US exchange rate.
The company is on the brink of completing a deal to slash its debt by a quarter after agreeing to sell its North American broadband business.
The deal, which is worth $240m (�135m), should be tied up by the end of March.
The debt reduction is a key element of an executive bonus scheme that could net Mike Parton 3.5 million shares worth almost �25m.
With Marconi's market value now above �1bn, four of the five targets in the scheme look set to be achieved.
The final target involves breaking the �1.5bn market value mark.
Marconi put an end to 18 months of falling sales in October by announcing a 6% increase in business for its second quarter to �389m.
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