Adept reports financial results, transition to new markets
SEPTEMBER 18, 2007--Adept Technology (Livermore, CA, USA) has reported financial results for its fiscal fourth quarter and year ended June 30, 2007.
SEPTEMBER 18, 2007--Adept Technology (Livermore, CA, USA), a provider of intelligent vision-guided robotics and global robotics services, has reported financial results for its fiscal fourth quarter and year ended June 30, 2007. Fourth-quarter 2007 revenues were $12.3 million, down 18% from revenues of $14.9 million for the fourth quarter of 2006 and down 2% compared to revenues of $12.6 million in the third quarter of 2007. Gross margin for the fourth quarter of FY2007 was 44.9%, compared with 47.4% in the fourth quarter of 2006 and 45.7% in the third quarter of 2007. Gross margin in the fourth quarter of FY2007 includes $329,000 of writedowns for obsolete and consigned inventory. Excluding these writedowns, gross margin was 47.6% in the quarter, a margin percentage management believes helpful for investors to understanding normal gross margin for the quarter.
Operating loss for the fourth quarter of FY2007 was $(6.0) million, compared with operating income of $740,000 in the fourth quarter of fiscal 2006. Fiscal 2007 fourth quarter operating expenses include $1.0 million in restructuring expense and $3.2 million in non-cash expense for impairment of goodwill and amortization of intangibles, compared with amortization of intangibles of $48,000 in the fourth quarter of FY2006. Fourth-quarter 2007 net loss was $(5.7) million, or $(0.73) per basic share, compared with net income of $984,000, or $0.14 per basic share, for the fourth quarter of 2006.
In the fourth quarter the company restructured its operations, which included a 15% reduction in personnel and a reduction in operating expenses of approximately 13%. The ongoing quarterly savings in operating expenses from the restructuring is expected to be between $750,000 and $950,000, beginning in the first quarter with the full effects being realized in the second quarter of fiscal 2008.
Commented Rob Bucher, chief executive officer of Adept Technology, "2007 was a difficult year for Adept, as we lost a significant portion of our revenue from the continued down cycle in the disk-drive market and experienced a sharp decrease in demand from industrial-automation markets in the USA, as traditional manufacturers continued to outsource production to low-cost geographies. In response to, and in anticipation of, these market changes we have intensified our vertical market focus by introducing our innovative Quattro robot, a high-speed packaging robot targeted at the expanding opportunity for high-value automation in the packaged goods markets of Europe and the USA, and by investing in the high-growth medical-automation markets."
The company expects to achieve improvement in operating results through FY2008, beginning in the second quarter. It further expects to generate positive cash flow from operations beginning in the second quarter of FY2008 and to be cash flow positive for the fiscal year as a whole.
More information is available at www.adept.com.