Broadcom Corp., Irvine, Calif. today updated the outlook for its financial performance for the second quarter ending June 30, 2001.
"The continued weakness in the technology sector requires that we lower expectations for second quarter revenue to a decrease of between 32% and 35% from the first quarter," said Henry Nicholas III, president and CEO, in a prepared statement.
"Although current demand conditions continue to be soft, we are starting to see some signs of stabilization in the business for the second half of the year.
"In response to the numerous acquisitions made in the last two years and the current more challenging economic climate, we are taking steps to streamline our business," Nicholas continued. "Accordingly, in the first quarter earnings conference call on April 18, we indicated that we were conducting a thorough review of all of our business units with the intent of making reductions in some areas and increasing the level of strategic investment in others.
"We are beginning to implement these plans during the current quarter. This will result in business unit re-alignment, net staffing reductions, facility consolidations, and other actions that will result in an associated charge to be taken during the second quarter," the statement concluded.