AUGUST 24--PPT VISION (Minneapolis, MN;www.pptvision.com), which designs, manufactures, and markets camera-based intelligent systems for automated inspection in manufacturing applications, has announced financial results for the third quarter, ended July 31, 2005. Revenues were $1,317,000 compared to revenues of $2,505,000 for the same period in FY2004. Net loss for the period was $294,000 or $0.10 per share compared to a net loss in the third quarter of FY2004 of $243,000 or $0.08 per share.
For the nine-month period ended July 31, 2005, the company had revenues of $4,409,000 as compared with revenues of $6,565,000 for the first nine months of last fiscal year. The net loss for the nine-month period was $1,774,000 or $0.59 per share in FY2005 compared to a net loss of $812,000 or $0.27 per share in FY2004.
"The revenue decline realized by PPT in the third quarter is attributable to two major factors," indicated Joe Christenson, president of PPT VISION. "First, last year's third quarter included revenue of $703,000 from one large OEM account who is no longer purchasing our older Scout product from us, as we have previously announced. Second, excluding the effect of the loss of this OEM account, sales of our older Passport and Scout product lines, which we have been intentionally phasing out, declined by over 50% in comparison with the prior year's third quarter. Going forward, we expect very minimal sales of our older product lines. We expect the overwhelming majority of our future sales to consist of our newer, more competitive and cost effective IMPACT machine-vision product line, which is continuing to make positive inroads at a growing number of customer sites.
"During the third quarter, we introduced two new high-resolution models of our IMPACT machine-vision hardware and two significant revision level upgrades to our powerful INSPECTION BUILDER machine-vision software. We have now sold more than 1500 IMPACT units, and the number of our value-added distributors, system integration partners, and end-user customers continues to grow. In addition, we added two new OEM customers who have standardized on the IMPACT platform during the quarter, one of which we publicly announced in June. Our operating expenses declined by $400,000 in the third quarter in comparison to the prior year's third quarter, which is a result of the restructuring announced and implemented in April 2005 that serves to significantly reduce our breakeven point.