Lumen Technologies, previously known as CenturyLink, revealed a decrease in financial performance in the first quarter of 2024, despite efforts to revitalize its business through channel partners and a focus on its mid-market and enterprise sales in North America. During their Q1 earnings call, President and CEO Kate Johnson expressed enthusiasm for the potential growth through channel partnerships, emphasizing recruitment and productivity improvements.
The company reported that their "Grow" business product revenue, encompassing next-gen services like network as a service (NaaS) and security tools, slightly increased to $758 million, representing 43 percent of total revenue. However, overall revenue fell by 11.7 percent to $3.29 billion, missing Wall Street’s expectations by $100 million. The decline was attributed to ongoing restructuring and transformation efforts, alongside a shift from direct sales to a more balanced approach between direct and indirect sales channels.
Despite these challenges, Lumen remains focused on leveraging these strategies to rejuvenate its Large Enterprise and North America Business segments, although CFO Chris Stansbury cautioned a slower turnaround for larger enterprise initiatives.
Source: CRN
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