Sun restructuring yields positive results

Forecast profits beat analyst estimates

Sun Microsystems’ preliminary financial results for the fourth quarter of 2008 estimates revenue of between $3.73 (£1.86bn) and $3.8bn, compared to $3.84bn in the fourth quarter of 2007.

The company also anticipates net income per diluted share of between 25 (12.5p) and 35 (17.5p) cents, excluding a $100m restructuring charge, beating analyst expectations and pushing share values up 12.5 per cent.

Sun is engaged in a cost-cutting programme that saw chief executive Jonathan Schwartz pledge in May to slash a further 7.3 per cent of its workforce, on top of previous job cuts and property sell offs.

The company will report its full financial results on 1 August.