Even as EMC Corp. expands beyond network storage technology into security, virtualization and content management, it is preparing to cut as many as 1,250 jobs.
Tuesday the company reported third quarter net income of $283.7 million, or 13 cents per diluted share, on revenue of $2.82 billion for the three months ended Sept. 30, exceeding analysts estimates of 12 cents per share on revenue of $2.67 billion.
The results matched the 13 cents a share earnings per diluted share in the third quarter of 2005 for the Hopkinton, Massachusetts-based firm, on revenue of $2.37 billion. However, in the year earlier quarter EMC's net income was $421.7 million.
EMC plans to eliminate 1,250 jobs as it consolidates operations in the wake of 21 acquisitions it has made in the last three years. EMC plans to take a pretax charges of $150 million to $175 million in the fourth quarter, or about 6 cents a share, to cover the cost of the consolidation.
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