Tellabs posts profit, yet cuts 200 workers

NAPERVILLE - Tellabs Inc. said Tuesday it posted a healthy profit, yet will cut about 200 jobs as it restructures again.

The telecommunications equipment maker said it plans to shift more investment to Ethernet and Internet Protocol products, move its supply chain closer to suppliers and reduce general and administrative expenses.

Although Tellabs plans to reduce its work force by about 200 positions over the next five quarters, it expects overall head count to rise during 2010, the company said.

Fourth-quarter profit was $62 million, or 16 cents per share including a $23.4 million one-time tax gain, compared to $13 million, or 3 cents per share, a year ago. Without that tax gain, the company said earnings were 9 cents per share, the same as a year ago. Sales fell 5 percent to $389 million from $408.3 million a year ago.

Full-year earnings were $113.6 million, or 29 cents per share, compared to a loss of $930 million, or $2.32 per share, in 2008. Revenue was $1.5 billion, or 12 percent below the year before, the company said.