STOCK WATCH

Ingram Micro

Ingram Micro surpassed Wall Street expectations for the second quarter to 4 July, reporting net income of $55.6 million, 39 per cent higher than the $40 million recorded in the same period a year ago. Revenue was $4.96 billion, up 33 per cent from $3.72 billion a year ago

MCI

Start-up expenses in the US local market, pricing pressures in the long-distance market and expansion costs caused earnings at MCI Communications to drop 30 per cent in its second quarter over the corresponding period a year ago, though it came in above analysts' expectations. Net earnings were $195 million, down from $280 million a year ago. Revenue up 11 per cent to $5.37 billion for the quarter from $4.84 billion a year ago.

EDS

Electronic Data Systems reported a sharp increase in second-quarter net income to $221.9 million, almost a nine-fold increase on the $22.9 million recorded a year ago. Revenue was up 13.9 per cent to $4.19 billion from $3.69 billion a year ago. However, investors have been warned that industrial action at EDS's largest customer, General Motors, will affect third-quarter and full-year profits.

Baan

Baan beat Wall Street's estimates by a penny in its second-quarter results.

The applications supplier turned in operating profits of $26.9 million and revenue leapt 46 per cent to $230 million. Meanwhile, founders Jan and Paul Baan stepped down last week. Paul left the company's supervisory board to focus full-time on venture capital organisation, Vanenberg Ventures (formerly Baan Investments), while Jan transferred from the management to the supervisory board, renouncing the chairmanship of the company.

Vanguard

Taiwanese memory manufacturer Vanguard International has confirmed it will post a loss of about $130 million on turnover of $278 million this year. The loss comes in the wake of continued depression in the DRam memory market. According to a Vanguard source, the loss was heavy because the company only makes DRams.

ISA International

Supplies company ISA International lost nearly 43 per cent to #2.3 million for six months to 30 June, in line with an earlier profit warning. Profit from a turnover increase of 38 per cent to #180.2 million was affected by pressure on margins due to investment in staff and systems, said outgoing chairman Jim Salmon.

Misys

Misys shares dropped by #5 after the company reported profits increased by 42 per cent with nervous US brokers attracting the blame for the dramatic fall.