Compaq Computer Corp scored another record quarter with sales of $2,840m, and the company says sales growth continued to be strong in all of its five geographical regions. With the total up 63%, North America sales were up 57%, Europe was up 50% and Japan, Latin America and Asia-Pacific sales grew at a combined rate of 122%. Gross margins fell to 23% of total turnover, but Compaq says it was planning for that. While the personal computer industry remains volatile, we will continue to make the financial and operational investments necessary to increase our market share and at the same time strive for strong financial performance, said chief executive Eckhard Pfeiffer. The company also reported a planned increase in inventories ahead of the big selling season, ending the quarter with $2,300m in inventories, but they were $2,240m at the end of the second quarter. The new plants in Brazil and China came on stream during the quarter.
