PPT VISION reports Q3 results
AUGUST 19--PPT VISION Inc. (Minneapolis, MN; www.pptvision.com) has released its financial results for the third quarter, ended July 31, 2003. Net revenues for Q3 were $2,019,000, which is approximately the same as the third quarter of last fiscal year. The company's net loss for the quarter was decreased by 36% to approximately $950,000 or $0.09 per share from almost $1.5 million or $0.16 per share for the same period in fiscal 2002.
For the nine-month period, net revenues increased 21% to $6.4 million, compared with $5.3 million for the previous year. The company reported a net loss of $3.9 million, an improvement of 17% compared to a net loss of $4.7 million during the first nine months of the previous year.
"Our quarterly revenues were essentially flat with the prior year and slightly lower than last quarter due to the sluggish nature of capital spending in the manufacturing sector," stated Joseph C. Christenson, president of PPT VISION Inc. "We continue to be cautiously optimistic that we are beginning to see the early stages of a recovery in our markets but as this quarter indicates, the return to normal conditions will be gradual."
Despite the fact that quarterly revenues were flat with the prior year, PPT was able to reduce the net loss for the quarter due to the cost containment measures that were recently implemented. As previously disclosed, the company took several additional actions to reduce operating costs, including a 17% reduction in its workforce. In connection with this action, PPT incurred severance costs of approximately $126,000 that were recorded in the quarter. The full benefit of these cost-cutting measures will be realized in the fourth quarter.
"We have taken a hard look at our cost structure and implemented actions that will lower our operating costs and implement a more focused business mission to enable us to reach profitability," stated Christenson. "As a result of these actions, we have significantly lowered our quarterly break-even revenue requirement, before noncash charges, to approximately $2.7 million."