fbpx
Home / Today's Top Stories / Ultralife reports net loss in quarter

Ultralife reports net loss in quarter

Ultralife Batteries Inc. Thursday reported a third-quarter net loss of $1.3 million, or 9 cents a share, compared with net income of $1.4 million, or 9 cents a share, a year ago.

Ultralife reports net loss in quarter

Ultralife Batteries Inc. Thursday reported a third-quarter net loss of $1.3 million, or 9 cents a share, compared with net income of $1.4 million, or 9 cents a share, a year ago.
Analysts were expecting a loss of a nickel a share, Thomson First Call reported.
The Newark firm logged revenues of $15.7 million, down roughly $9 million from a year ago.
The losses were due mainly to lower shipments of the company’s BA-5390 batteries to the U.S. military, company officials said. Gross margins for the quarter were 15 percent versus 20 percent for the third quarter 2004 and reflected lower production volumes.
Operating expenses were $3.9 million compared with $3.3 million last year due to a bigger push on product development and higher administrative costs.
John Kavazanjian, Ultralife’s president and CEO, said the results were consistent with the company’s latest guidance. The delay in the military contract was offset partly by an increase in commercial revenues and other military-related sales.
Due to the ongoing uncertain timing and quantity of BA-5390 battery orders, the company took steps this quarter to reduce overhead costs by up to $1 million on a quarterly basis, he said.
“With this cost structure, we still have the manufacturing flexibility necessary to ramp up quickly in response to a resumption in BA-5390 orders,” Kavazanjian said in a statement.
For the first nine months, Ultralife has logged $52.7 million in sales, down from $79.8 million a year ago. The net loss for the first nine months was $4.3 million, or 30 cents a share, compared with net income of $4.3 million, or 28 cents a share.
Shares of Ultralife (NYSE: ULBI) were trading midday at $11.99, down 1 percent from Wednesday’s close.

(c) 2005 Rochester Business Journal. Obtain permission to
reprint this article.

x

Check Also

Kate Kenney

How do you make your business nimble and flexible — especially during a pandemic? (access required)

“An organization’s ability to learn, and translate that learning into action rapidly, is the ultimate competitive advantage.” When the pandemic ...