RED BANK, N.J.--Following its recent blockbuster merger with GlobespanVirata Inc., Conexant Systems Inc. Monday (April 26) said it has reduced its workforce by approximately 200 positions.
The cuts, which are aimed within its worldwide sales and administrative workforce, will take place before the end of the calendar year. These actions are expected to reduce operating expenses by approximately $25 million annually when complete.
"While expected, these headcount reductions are difficult but necessary as we work to realize the merger synergies that will allow the combined company to deliver stronger financial performance," said Armando Geday, Conexant's chief executive officer.
The company also announced revenues of $243.8 million for the second quarter of fiscal 2004, which ended April 2. This is the company's first earnings report following the completion of the merger with GlobespanVirata on Feb. 27.
This is a 38 percent jump over first fiscal quarter 2004 revenues of $177.3 million and a 74 increase over second fiscal quarter 2003 revenues of $140.1 million.
The net loss for the second quarter of fiscal 2004 was $143.4 million, or minus $0.41 per diluted share, compared to a net loss of $68.0 million, or minus $0.26 per diluted share, in the second quarter of fiscal 2003. It had a net income of $40.6 million, or $0.13 per diluted share, in the first fiscal quarter of 2004.