Oce’s profits tumble to as low as -98 %

Dutch printer maker Oce informed last week its earnings plunged 98 percent in the fourth quarter, as business slowed abruptly in the conditions of the global economic downturn.

Oce, a major maker of printing systems for professional printers, was the first Dutch blue chip company to report quarterly earnings in what is expected to be a grim earnings season. Net profit was EUR700,000, down from EUR36.1 million in the same period IN 2007. Sales were down 4.3 percent to EUR802 million. The company's Chief Executive Rokus van Iperen said the company's business was "severely" affected by fallout from the financial crisis.

To cut costs, Oce will "seek partnerships" and try to outsource more of its sales to third parties, Van Iperen said. Oce will also try to generate extra cash by selling real estate, reducing inventories and payments due from customers.

Source: Google News

Key words: Oce, printers, crisis