Advanced Photonix Revenue Falls, Loss Grows
ANN ARBOR -- Advanced Photonix Inc. said sales fell 16 percent and its loss grew slightly in its third fiscal quarter ended Dec. 30.
The company's revenue for the quarter was $6.5 million, down from $7.7 million in the same quarter a year earlier.
The quarterly net loss was $812,000 or 3 cents a share, compared to $649,000 or 3 cents a share in the same quarter a year earlier.
The company also announced "non-GAAP net income" excluding some non-cash expenses of $317,000 or 1 cent a share, up from $259,000 or 1 cent a share a year earlier. Included are changes in the market value of warrants, a non-cash writedown of patents, stock option compensation expense, and some wafer fabrication expense.
Earnings before interested, taxes, depreciation and amortization -- sometimes used as a proxy for cash flow -- was $236,000 for the quarter, down from $472,000 a year earlier.
For the first nine months of the fiscal year, revenue was $23 million, up 10 percent from $21 million a year earlier.
The company posted a loss of $1 million or 3 cents a share in those nine months, an improvement from a loss of $1.3 million or 5 cents a share for the comparable period of the prior fiscal year.
The "non-GAAP net income" for the nine months was $259,000 or 1 cent a share, down from $565,000 or 1 cent a share a year earlier.
For the nine months, the company posted $2.3 million sales in telecommunications products, up 33 percent from a year earlier. Medical market revenue was $152,000, up 23 percent from a year earlier. Homeland security market revenue was $921,000. It wasn't broken out as a category a year earlier. Military market revenue fell 16 percent to $633,000. And revenue for equipment in industrial and non-destructive testing fell 8 percent to $758,000.
Research and development spending grew to $1.7 million for the quarter, up from $1.4 million a year earlier. It grew to $5.1 million for the nine months from $4 million a year earlier.
"Our third quarter results were as expected, down in light of the flooding in Thailand which affected the supply chain for our major telecommunications customers, as well as the timing of orders in the military market," said CEO Richard Kurtz. "While the first half of the year was strong in the telecommunications market, as we stated last quarter revenues in the second half are expected to be down substantially. We believe that this is primarily attributable to the temporary supply chain issue and not a lack of long term demand for our 40G and 100G products. We expect a return to the robust growth we enjoyed in the first half of this fiscal year to return in our next fiscal year. We are continuing to sell our T-Ray systems into industrial applications and are working closely with our customers to establish a value added reseller channel to install, integrate and service our systems. With our new banking relationship we have the financial strength to continue investing in our high growth opportunities and are optimistic about our long term future, but as we stated last quarter, for this fiscal year we are reducing our annual revenue growth for this fiscal year to a maximum of 5 percent year over year."
To listen in on a conference call discussing these results, call (888) 286-8010 in the United States or (617) 801-6888 internationally, using the pass code 89328044.
