Cognex Corporation announces second-quarter results

AUGUST 2--Cognex Corporation (Natick, MA; www.cognex.com) announced revenue for the second quarter, ended June 30, 2002, of $26,671,000, compared to $37,379,000 reported for the second quarter of 2001. The company reported a net loss for the second quarter of $4,712,000, or $0.11 per diluted share, compared to net income of $2,155,000, or $0.05 per diluted share, in the comparable quarter a year ago.

Reported results for the second quarter of 2002 include a benefit of $1,000,000 in cost of revenue from the sale of inventory that was reserved for in the fourth quarter of 2001. The second quarter results also include investment losses of $6,184,000. Excluding these unusual items, the net loss for the second quarter of 2002 would have been $1,446,000, or $0.03 per diluted share.

Revenue for the six months ended June 30, 2002, was $48,451,000, compared to $81,585,000 reported for the same six-month period a year ago. For the six months ended June 30, 2002, Cognex reported a net loss of $7,232,000, or $0.16 per diluted share, compared to net income of $6,916,000, or $0.15 per diluted share, for the comparable period in 2001. Excluding the inventory benefit and investment losses described above, the net loss for the first six months of 2002 would have been $3,966,000, or $0.09 per diluted share.

"Our results for the second quarter of 2002 were down year on year due to the continuing worldwide slowdown in capital equipment spending, particularly by manufacturers in the semiconductor and electronics industries," said Robert J. Shillman, Cognex president, chief executive officer, and chairman. "However, revenue increased 22% on a sequential basis, and bookings were higher than the prior quarter as well. Looking forward, we now believe that revenue for the third quarter of 2002 will be between $31 million and $33 million. At that revenue level, we will continue to lose money from operations, but we expect to be near breakeven at the bottom line."