Mitec shares up 22% after CEO says break-eveMitec Telecom Inc.
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Mitec shares up 22% after CEO says break-even is 'tantalizingly close'
9/22/03
TORONTO, Sep 22, 2003 (The Canadian Press via
COMTEX) --
Mitec Telecom Inc. shares jumped as much as 22 per
cent to a 52-week high Monday after its CEO said the
telecommunications equipment maker is 'tantalizingly
close''to breaking even.
Stock in the Montreal-based company (TSX:MTM),
worth 50 cents per share at the start of the month,
traded as high as 95 cents Monday, up 19 cents on the
day.
Mitec said Friday it had a net loss of $1.6 million, four
cents a share, in its first quarter ended July 31.
This was an improvement over a year-earlier loss of $6.4 million, 27 cents a share, as sales increased 12
per cent to $18.8 million.
Rajiv Pancholy, appointed chief executive 11 months ago, said Friday that Mitec, which hasn't been
earnings-positive on an annual basis since 1999, 'is now on the threshold of profitability.'
Pancholy said the company achieved an operating profit for the second consecutive quarter, and noted that
major customer Nortel Networks has won large orders recently.