Sycamore Being Sycamore
10:00 AM -- BOSTON -- This just in: Still nothing happening at Sycamore Networks Inc. (Nasdaq: SCMR). (See Sycamore: The Great Nothing.)
Last night the company reported that the results of an SEC investigation into options treatments came back with little result, and that the "company expects that the outcome of the investigation will not result in any material adjustment being required to be made to the Company's historical revenues, non-stock option related expenses or cash positions." This comes after Sycamore was recently delisted from Nasdaq, pending the results of the investigation (see Sycamore Sorta Reports Q3 and Sycamore Gets Delisting Notice).
Also, according to preliminary results, Sycamore is doing pretty much what it's been doing all along: Puttering along and preserving its cash. According to preliminary results for the fiscal quarter ended April 30, 2005, Sycamore says revenues will be around $17.8 million, compared to $14.7 million in the comparable period last year. Its estimated cash, cash equivalents, and investments stood at $948.9 million, essentially unchanged from the prior quarter.
Being here in Boston, I've kind of noticed some similarities betweeen Sycamore and quirky Boston Red Sox star Manny Ramirez. There's a saying, "Manny is just being Manny." Well, Sycamore is always just being Sycamore.
Manny is famous for being involved in trade rumors that never happen. Sycamore is famous as well for trade rumors that never happen (see Supercomm Snippets, Will Sycamore Call It a Day?, Sycamore Signs Sprint, Seeks Help, and Supercomm Snippets). Manny is enigmatic. Sycamore is enigmatic. Manny drew a huge, bloated long-term contract. Sycamore drew a huge, bloated IPO. Manny's body-language telegraphs aloofness. Sycamore's earnings statements signal aloofness. Nobody knows if or when Manny will be traded. Nobody's really sure whether or not Sycamore can, or will be, traded.
Of course, there's one big difference: Manny is regularly smashing the ball out of the park.
— R. Scott Raynovich, US Editor, Light Reading