We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

   Technology StocksSykes Enterprises (SYKE)

Previous 10 Next 10 
To: JGreg who wrote (21)1/14/1999 1:15:00 PM
From: Marty
   of 48
Just read a great review on the company in yesterday's Investor Business Daily and picked up some shares because of it. Noticed that the stock is up 10 points or about 33% since it was downgraded in Feb. '98.

Outsourcing is a great way to save money and it is clearly a trend for the future. (I also have some Fidelity Select Business Services and Outsourcing mutual fund that has done very well.) This has been an overlooked opportunity, which could be a good indicator for future upside. It is clear from the article that they can perform the services a lot better than the client companies.

It is a very similar situation to Solectron (another holding of mine) that expanded from just an assembly source to also provide, R & D, shipping, billing, collection and so on. You can have an idea and, say, a website and SLR will determine how to make your product, manufacture it, sell it, pack and ship it, bill it and collect the bills for you. All you have to do is get the idea and cash your checks. SYKE could provide additional services as well. That kind of expertise usually spreads like water on a blotter.

Share RecommendKeepReplyMark as Last ReadRead Replies (1)

To: Marty who wrote (22)1/26/1999 8:56:00 PM
From: joetomarket
   of 48
I've heard that their earnings report is due out soon and should be great.

Share RecommendKeepReplyMark as Last Read

To: Robert Scott who wrote ()10/11/1999 3:54:00 PM
From: Peonie
   of 48

Share RecommendKeepReplyMark as Last ReadRead Replies (1)

To: Peonie who wrote (24)10/11/1999 8:33:00 PM
From: Robert Scott
   of 48
I've been out of this stock for some time - sorry.

Share RecommendKeepReplyMark as Last Read

To: Robert Scott who wrote ()1/25/2000 6:52:00 PM
From: kendall harmon
   of 48
SYKE, overdone today and looking for a bounce tomorrow
<<Tampa, Florida, Jan. 25 (Bloomberg) -- Sykes Enterprises Inc.
shares fell 51 percent after the operator of call centers for
computer makers and Internet service providers said it would miss
analysts' fourth-quarter earnings estimates.

The shares fell 24 1/4 to a 52-week closing low of 23 on the
Nasdaq National Market, reducing Sykes' market value by about
$1 billion, to $974 million. Tampa, Florida-based Sykes had the
biggest percentage decline of any stock in U.S. markets.

Sykes warned that it expects to report fourth-quarter profit
of 20 cents to 22 cents a share, less than the 37-cent average
forecast of analysts polled by First Call/Thomson Financial. In
the year-earlier quarter, it earned 28 cents a share. Sykes also
said it expects fourth-quarter revenue of $160 million to
$162 million, up from $142 million a year earlier.
``This is very disappointing, there is no doubt about it, and
that's why the stock has taken such a hit,' said Stephen Shook,
an analyst at Wachovia Securities. ``The stock isn't worth half of
what it was. This thing is a little overdone.'

Two other analysts cut their ratings on Sykes today. Shook
said he downgraded the stock to ``neutral' from ``strong buy'
last week because he thought the shares, which had risen
61 percent in the past year as of yesterday, wouldn't gain more.

Sykes runs 38 call centers that provide technical support for
customers of companies such as Microsoft Corp., Apple Computer
Inc. and International Business Machines Corp.

Surprised by Shortfall

Sykes blamed foreign-currency transactions, training and
development costs for new contracts, and a unit that didn't meet
expectations. The earnings shortfall would be the company's first
since it sold shares to the public in 1996.
``We're extremely disappointed in the need to recast our
numbers for the fourth quarter,' said Sykes Chairman and Chief
Executive John H. Sykes in a teleconference. ``We were surprised
at the magnitude of this situation."

The company expects to earn 40 cents a share in the first
quarter, 10 cents more than the average forecast of seven analysts
polled by First Call, as it expects to get about $10 million from
delayed contracts, said Chief Financial Officer Scott Bendert. He
said Sykes this year expects to earn as much as $1.59, or 8 cents
more than the First Call average forecast.

Fourth-quarter revenue was reduced by $4 million because of
the euro's fall against the dollar, which made currency conversion
more expensive, and another $4 million because of problems at
Sykes' SHPS Inc. unit, Shook said. SHPS runs call centers for
health-care providers, he said.

Sykes officials didn't provide more information in a
statement or answer questions about reasons for the earnings
shortfall during its teleconference. Company officials didn't
return phone calls seeking comment.

The company has 14,000 workers in the U.S., Canada, Europe,
Africa and Central America. Its 1998 revenue was $469.5 million.

Share RecommendKeepReplyMark as Last ReadRead Replies (2)

To: kendall harmon who wrote (26)1/27/2000 8:43:00 AM
From: Robert Scott
   of 48
Got out a while ago in the 30's. Haven't followed for a long time.

Share RecommendKeepReplyMark as Last Read

To: kendall harmon who wrote (26)2/7/2000 6:02:00 PM
From: John Ritter
   of 48
Bounce tomorrow on SYKE?

Share RecommendKeepReplyMark as Last ReadRead Replies (4)

To: John Ritter who wrote (28)2/7/2000 6:20:00 PM
From: Ken M
   of 48
(COMTEX) B: Milberg Weiss Announces Class Action Against Sykes Enterp
B: Milberg Weiss Announces Class Action Against Sykes Enterprises, Inc.

NEW YORK, Feb 7, 2000 (BUSINESS WIRE) -- The following was announced
today by the law firm of Milberg Weiss Bershad Hynes & Lerach LLP:

Notice is hereby given that a class action lawsuit was filed on
February 2, 2000, in the United States District Court for the Middle
District of Florida, Tampa Division, on behalf of all persons who
purchased the common stock of Sykes Enterprises, Inc. ("Sykes" or the
"Company") (Nasdaq: SYKE) between Oct. 25, 1999, and Jan. 31, 2000,
inclusive (the "Class Period").

If you wish to discuss this action or have any questions concerning
this notice or your rights or interests with respect to these matters,
please contact, Milberg Weiss Bershad Hynes & Lerach ("Milberg Weiss"),
in Boca Raton: Kenneth Vianale or Maya Saxena at 5355 Town Center Road,
Suite 900, Boca Raton, Florida 33486, by telephone (561) 361-500, or in
New York: Steven G. Schulman or Samuel H. Rudman at One Pennsylvania
Plaza, 49th Floor, New York, New York 10119-0165, by telephone
1-800-320-5081 or via e-mail: or visit our website

The complaint charges Sykes and certain of its senior officers and
directors with violations of Sections 10(b) and 20(a) of the Securities
Exchange Act of 1934 and Rule 10b-5 promulgated thereunder. The
complaint alleges that defendants issued a series of materially false
and misleading statements concerning the Company's financial condition,
revenues and earnings. The complaint further alleges that on February
1, 2000, the Company announced that it would be forced to delay the
release of fourth quarter earnings because its audit was "incomplete."
In response, the stock fell nearly 33% on unusually large trading
volumes of over 11,000,000.

Plaintiff seeks to recover damages on behalf of class members and is
represented by the law firm of Milberg Weiss, and others. Milberg Weiss
maintains offices in New York City, San Diego, Los Angeles, San
Francisco and Boca Raton and is active in major litigations pending in
federal and state courts throughout the United States. Milberg Weiss
has taken a leading role in numerous important actions on behalf of
defrauded investors, and is responsible for a number of outstanding
recoveries which, in the aggregate, total approximately $2 billion. For
more information about Milberg Weiss, please visit our website at

If you are a member of the class described above you may, not later
than sixty days from Feb. 2 move the Court to serve as lead plaintiff
of the class, if you so choose. In order to serve as lead plaintiff,
however, you must meet certain legal requirements.

Copyright (C) 2000 Business Wire. All rights reserved.

Distributed via COMTEX.
CONTACT: Milberg Weiss Bershad Hynes & Lerach LLP
Boca Raton Office
Kenneth Vianale/Maya Saxena
New York Office
Shareholders Services Dept.




Today's News On The Net - Business Wire's full file on the Internet
with Hyperlinks to your home page.

*** end of story ***

Share RecommendKeepReplyMark as Last Read

To: John Ritter who wrote (28)2/7/2000 6:21:00 PM
From: Ken M
   of 48
REUTERS) Sykes Q4 net rises, restates Q2 and Q3 results
Sykes Q4 net rises, restates Q2 and Q3 results

TAMPA, Fla., Feb 7 (Reuters) - Sykes Enterprises Inc.,
which provides technology services to business, Monday posted
lower-than-expected 1999 fourth-quarter profits and forecast
disappointing earnings for 2000.
The company also announced revised results for the 1999
second and third quarters that were down sharply from the
original figures.
Shares of Sykes <SYKE.O> were off 3-5/8 at 14-5/16 at
midday on the Nasdaq stock market.
Fourth-quarter net income was $7.4 million, or 17 cents per
diluted share, excluding charges, the company said. Wall Street
had expected 21 cents per share, according to First
Call/Thomson Financial.
In the 1998 fourth quarter Sykes earned $11.9 million, or
28 cents per diluted share, excluding charges.
Fourth-quarter revenues rose to $163.6 million from $142.4
million a year earlier.
In the quarter, Sykes had special charge that included a
one-time, acquisition-related charge of $1.4 million, as well
as an additional charge of $7.3 million. The company also had a
fourth quarter severance charge of $500,000, as well as a $6.0
million charge.
The company did not immediately return calls to clarify
what these charges were related to.
Chairman and Chief Executive John Sykes said the company
would be looking for "strategic alternatives" for its wholly
owned subsidiary SHPS Inc.
The Tampa, Fla.-based company said the restatement of its
second and third quarter results stemmed from delayed revenues
in connection with certain software and service contracts.
In light of the restatement, the company now expects 2000
earnings at about $1.10 per share on revenues of about $735
million. Analysts were expecting earnings of $1.53 per share,
according to First Call.
Second quarter net income was restated as $4.0 million, or
9 cents per diluted share, from $11.5 million, or 27 cents a
share. Revenues were restated to $134.1 million from $146.1
Third quarter net income was restated as $4.3 million, or
10 cents per diluted share, from $14.1 million, or 33 cents per
share. Revenues were revised to $141.0 million from $161.0
((--New York Technology Desk 212/859.1860))
*** end of story ***

Share RecommendKeepReplyMark as Last Read

To: John Ritter who wrote (28)2/7/2000 6:22:00 PM
From: Ken M
   of 48
(REUTERS) RESEARCH ALERT - Sykes cut to market perform
RESEARCH ALERT - Sykes cut to market perform

NEW YORK, Feb 7 (Reuters) - Banc of America Securities
analyst Jim Janesky said Monday he lowered his rating on Sykes
Enterprises Inc. <SYKE.O> to market perform from strong buy.
-- shares of Sykes were off 3-3/8 trading at 14-9/16 on the
Nasdaq stock market.
-- Janesky said Sykes reported fourth quarter earnings of
17 cents per share and a fiscal 1999 EPS of 60 cents per share,
below Janesky's estimate of 20 cents per share for the quarter
and $1.03 for the year.
-- said earnings for the second and third quarter of 1999
have been restated to 9 cents from 27 cents per share and to 10
cents from 33 cents per share, respectively.
-- said the company is also giving new guidance for 2000 of
$1.10 per share.
-- said the company has decided to recognize all costs
related to pending contracts, but no revenues. The recognition
of costs, but not revenues defies the accounting logic of
matching revenues with expenses in any given period.
-- said there is no visibility for 2000. On the conference
call, management stated that, on advice of counsel, they are
unable to comment on performance in 1999.
-- said lawsuits could prevent the company from signing
pending contracts.
-- said the company previously said it was unable to
recognize revenues related to three contracts that were being
performed, but had not been signed. One contract was related to
a current client, Adobe Systems Inc. <ADBE.O>, which the
company said was signed on Monday. The other two contracts are
-- said Sykes has indicated the lawsuits may complicate the
company's ability to sign the new contracts.
-- Janesky believes Sykes is still in discussions with its
auditors regarding appropriate revenue recognition principles,
which makes it more difficult to have confidence that future
earnings per share expectations won't be revised downward.
-- said although the stock currently trades at 13 times
Janesky's 2000 estimate of $1.10, he cannot say with sufficient
confidence that earnings estimates represent a trough for the
(( -- New York Technology Desk 212/859.1860))

*** end of story ***

Share RecommendKeepReplyMark as Last Read
Previous 10 Next 10