General Purpose revenues of $373 million were down 17 percent from last year but were up 15 percent from Q3. Aerospace / defense held up best, unchanged compared to one year ago. Other general purpose markets were off 27 percent from last year due to continued weakness in electronics manufacturing and computer / semiconductor markets. Communications revenues of $209 million were down 43 percent from one year ago, with only investments in LTE, network monitoring, and China 3G infrastructure showing signs of stabilization.
Fourth quarter segment profit of $41 million was $95 million below last year on a $233 million decline in revenues – an impressive 41 percent decremental resulting from rapid actions to reduce structural costs in this severe downturn. Gross margins fell by less than 2 points from last year due to lower volume, while operating expenses were $50 million below last year. Operating margins fell 10 points to 7 percent. Segment ROIC(2) fell 22 points to 12 percent, driven by lower profitability and despite $209 million lower invested capital.
|Semiconductor & Board Test|
|($ millions except where noted)|
|Gross Margin, %||46%||33%||46%|
|Income from Operations||(1)||(10)||0|
|Return On Invested Capital (2) , %||(1%)||(9%)||2%|