Sun Microsystems posts losses for the forth quarter

Sun Microsystems posts losses for the forth quarter

Server industry giants Sun Microsystems has posted a fiscal fourth-quarter loss. The company seems to suffer from restructuring, acquisition and stock-based compensation costs. These expenses ate up the revenues gained by the company as they managed to exceed market expectations.

The company posted losses of $301 million, or 9 cents a share for the three months ended June 30. This is disappointing when compared to net income of $50 million, or one cent, in the same quarter of last year. The sales however were up to $3.83 billion, from $2.97 billion in the last year during the same period.

Sun Microsystems’ results included at least $509 million in one-time expenses. These expenses include costs of restructuring, acquisitions and stock compensation. The company also recently announced their plans to cut its headcount by 4,000 to 5,000 workers.