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German sports car maker Porsche SE said Wednesday it expects revenue in the four months through November to fall some 15 percent from a year ago as sales slump amid the global economic crisis.

In a preliminary estimate, Porsche said it expected revenue of slightly more than euro2 billion ($2.56 billion) for the first four months of its fiscal year -- down from euro2.36 billion in the same period last year.

It said vehicle sales likely declined to 25,200 from 30,700. Porsche plans to release precise figures for the period in mid-December.

The maker of the 911 and the Cayenne said it expected a "noticeable decline" in sales for the full fiscal year from the 2007-2008 year's 98,652 vehicles.

"Worldwide, signs of a serious slump in the automobile industry are clearly visible," Porsche said in a statement. "Particularly in the United States, the single biggest market for Porsche, possible developments in the future make it difficult to reliably calculate."

Porsche CEO Wendelin Wiedeking declined to give a full-year profit forecast, saying that "it cannot be done reliably now."

On Monday, Porsche said it had stopped assembly lines for the day last Friday at its main plant and said it would halt production for seven more work days through the end of January to adapt to weaker demand.

Porsche reported a net profit of nearly euro6.4 billion for the year that ended July 31, up from euro4.2 billion it earned in the 2006-2007 year, largely because of its investment in fellow German automaker Volkswagen AG -- Europe's biggest car maker by sales.

Porsche said Wednesday it is standing by its target of building up its stake in Volkswagen to 75 percent next year. However, Wiedeking signaled Porsche may not exceed the 50 percent ownership mark by the end of this year as it had planned.

"In view of the current economic environment, it is becoming increasingly unlikely that we will reach this target in this calendar year," he said.

Porsche already holds more than 40 percent of Volkswagen and has effective control over the company.

Porsche shares finished down less than 1 percent in Frankfurt at euro52.49 ($67.61).

Defying investors' fears that its earnings would fall victim to slumping tech demand, Dell turned in a surprisingly profitable third fiscal quarter by taking a big ax to costs.

Although Dell's (DELL) sales were more than $1 billion short of Wall Street estimates for the quarter that ended Oct. 31, a combination of job cuts, a hiring freeze, and lower materials costs helped earnings reach 37¢ per share, beating analysts' modest expectations of 31¢ per share. Shares of Dell gained more than 5% in extended trading. Earlier, the stock had lost 54¢, or 5.2%, to close at 9.81, amid a market slump.

Revenue and net income declined from a year earlier, but investors said Dell was successfully protecting profit amid a global economic slowdown that's sapped business and consumer demand for new computers and other tech gear. "In previous quarters it looked like the company was willing to grow share at any cost," says Bill Kreher, a technology analyst at Edward Jones who has a buy rating on Dell. That's what happened in the second quarter, when profit fell 17% on overly aggressive price cuts (BusinessWeek.com, 8/29/08). "In this environment they're aware that investors are more concerned with the bottom line," Kreher says.

Tough Act to Follow

For now, Dell may need to keep running the cost-cutting play, one of its few options in an environment that's forced other tech bellwethers, including Intel (INTC) and Cisco Systems (CSCO), to issue dour forecasts. Dell sliced 2,200 jobs and took advantage of lower PC component prices, analysts said. "Can they continue to cut costs like this?" says Jayson Noland, an analyst at Robert W. Baird, who has a neutral rating on Dell shares. The company may have to do so to boost its stock performance, since "nobody expects the economy to be a benefit to anyone."

From a cost-cutting perspective, the third quarter will be a tough act to follow. Sales declined 3%, to $15.16 billion, missing analysts' consensus expectation for $16.22 billion in sales. Net income fell 5%, to $727 million. But operating expenses fell 11%, and operating income rose 22%, the biggest gain in two-and-a-half years. Dell's consumer PC business, which it's counting on for future growth, posted an operating profit of $112 million, more than the last six quarters combined, according to Baird's Noland.

During a conference call with analysts, CEO Michael Dell said the company would continue to emphasize profit over market share. "Given the choice between profits and growth, we're going to go for the profits," he said. That's in large part because of "deteriorating demand" for tech products, Chief Financial Officer Brian Gladden added. "We had a stronger August than we had September or October," he told analysts. Cutting costs "is the one lever we can control."

A third-quarter earnings report from Comcast (CMCSA) due on Oct. 29 could be the first major indicator of how well the historically recession-proof cable-television industry will fare in the current downturn.

It may be too early to know how far consumers are willing to go in tightening their household budgets. But some analysts believe cable services, from TV to broadband to phone, are no longer thought of by subscribers as discretionary, even though so-called triple-play cable bills usually exceed $100 per month. Sanford Bernstein analyst Craig Moffett went so far as to write in his latest report: ""Video and broadband are no more discretionary for most families than running water and electricity."

The third-quarter numbers from the nation's largest cable operator, with 24.5 million television subscribers, could shed some light on whether Moffett's statement rings true. Comcast did not make executives available for comment, citing a quiet period ahead of earnings. But last month, Comcast Chief Financial Officer Michael Angelakis told participants at a Goldman Sachs (GS) investor conference that he was "very concerned" about the ripple effect that Wall Street's collapse would have on consumer spending.

Even well before the recent economic turmoil, Comcast, prompted by the decline in new housing starts, began offering in 2007 economy tiers of service, giving consumers increased options for TV, broadband, and phone. Those rates, in some cases, are 20% less than Comcast's other established rates. These new services, though, include fewer channels and slower broadband speeds.

Comcast Promotions

Earlier this month, Comcast began promoting another offer to lure new subscribers, many of whom it believes are still using rabbit ears on TV sets: get basic cable for $10 a year, or free for a year if you buy any other Comcast service for $24.95 a month. A Comcast spokeswoman said the company has not released any data showing how well these promotions were doing in terms of adding subscribers. In turn, Time Warner Cable (TWC), the nation's second-largest operator with 13.3 million TV subscribers, has begun offering its customers the opportunity to lock in their current rates. If we can't help you save money on your current bill, promises Time Warner Cable, we'll give you a month of free service. Time Warner Cable reports third-quarter earnings on Nov. 5.