VANCOUVER, April 20 (Reuters) - Business communications company Aastra Technologies Ltd posted a 72 percent drop in first quarter earnings on Tuesday because of lower sales volumes and the impact of a stronger Canadian dollar.
Aastra said it earned C$3.9 million ($3.9 million), or 28 Canadian cents a share, in the first quarter, ended March 31. That was down from a profit of C$14.1 million, or C$1.02 a share, in the same period a year earlier.
Sales fell to C$171.9 million in the quarter from C$219.3 million a year earlier because of a sharply stronger Canadian dollar against the euro and the U.S. dollar.
Even without the impact of foreign exchange, sales dropped 13 percent. Aastra said revenue declines were experienced in most regions.
Analysts had expected Concord, Ontario-based Aastra to report earnings of 90 Canadian cents a share on revenue of C$207.19 million, according to Thomson Reuters I/B/E/S.
Fixed costs as well as certain restructuring charges also hit Aastra's earnings.
The company will pay a dividend of 20 Canadian cents a share for the quarter.
Aastra's stock closed 60 Canadian cents higher at C$36.40 on the Toronto Stock Exchange on Tuesday. The company released its results after the market close.
($1= $0.998 Canadian)
(Reporting by Nicole Mordant; editing by Peter Galloway) Keywords: AASTRA/ (nicole.mordant@reuters.com; +1 604 664 7315; Reuters Messaging: nicole.mordant.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Aastra said it earned C$3.9 million ($3.9 million), or 28 Canadian cents a share, in the first quarter, ended March 31. That was down from a profit of C$14.1 million, or C$1.02 a share, in the same period a year earlier.
Sales fell to C$171.9 million in the quarter from C$219.3 million a year earlier because of a sharply stronger Canadian dollar against the euro and the U.S. dollar.
Even without the impact of foreign exchange, sales dropped 13 percent. Aastra said revenue declines were experienced in most regions.
Analysts had expected Concord, Ontario-based Aastra to report earnings of 90 Canadian cents a share on revenue of C$207.19 million, according to Thomson Reuters I/B/E/S.
Fixed costs as well as certain restructuring charges also hit Aastra's earnings.
The company will pay a dividend of 20 Canadian cents a share for the quarter.
Aastra's stock closed 60 Canadian cents higher at C$36.40 on the Toronto Stock Exchange on Tuesday. The company released its results after the market close.
($1= $0.998 Canadian)
(Reporting by Nicole Mordant; editing by Peter Galloway) Keywords: AASTRA/ (nicole.mordant@reuters.com; +1 604 664 7315; Reuters Messaging: nicole.mordant.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.