Vicon Industries, Inc. (VII: NYSE-AMEX), a designer and producer of video security and surveillance systems, today reported operating results for the second fiscal quarter ended March 31, 2013. The announcement was made by Chairman and CEO Ken Darby.
Net sales for the second fiscal quarter were $8.7 million, compared with $12.5 million in the second quarter of the prior fiscal year. A net loss was incurred of $1.4 million ($.31 per share), compared with a net loss of $279,000 ($.06 per share) in the prior year quarter.
For the six months, net sales were $19.8 million, compared with $24.8 million in the first six months of the prior fiscal year. The net loss totaled $1.9 million ($.42 per share), compared with a net loss of $562,000 ($.13 per share) in the prior year six-month period.
Commenting on the second quarter results, Mr. Darby said “the Company experienced poor results in all its major markets. Historically, our second quarter is slow; however, this period was exceptionally weak.” Quarter over quarter revenues fell $1.3 million in Europe and the Middle East and $2.5 million in North America. Mr. Darby said software issues were partially responsible for delays in closing certain projects. New orders totaled $9.2 million for the quarter.
Mr. Darby said Vicon recently entered into a contract subject to certain due diligence provisions, to sell its current headquarters building for $6.350 million. Closing is scheduled for August, 2013. On April 29, 2013 the Company purchased a new headquarters facility in Edgewood, New York for $3.3 million. Combined, the two transactions will generate $2.5 million in cash and produce a financial statement gain of approximately $3.5 million. Mr. Darby said Vicon no longer required the functionality of the present headquarters property.
Vicon Industries, Inc. designs, engineers, assembles, and markets a wide range of video systems and system components used for security, surveillance, safety, communication and process control purposes by a broad group of end users worldwide.
This news release contains forward-looking statements that involve risks and uncertainties. Statements that are not historical facts, including statements about the adequacy of reserves, estimated costs, Company intentions, probabilities, beliefs, prospects and strategies and its expectations about expansion into new markets, growth in existing markets, enhanced operating margins or growth in its business, are forward-looking statements that involve risks and uncertainties. Actual results and events may differ significantly from those discussed in the forward-looking statements and the Company undertakes no obligation to publicly update or revise any forward-looking statements.
Vicon Industries, Inc. Condensed Statements of Operations (Unaudited) | |||||||||||||||||||||
Three Months Ended March 31, | Six Months Ended March 31, | ||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | ||||||||||||||||||
| Net sales | $ | 8,686,000 | $ | 12,472,000 | $ | 19,785,000 | $ | 24,824,000 | |||||||||||||
| Gross profit | 3,376,000 | 4,955,000 | 7,451,000 | 9,884,000 | |||||||||||||||||
| Selling, general and | |||||||||||||||||||||
| administrative expense | 3,725,000 | 3,924,000 | 7,338,000 | 7,795,000 | |||||||||||||||||
| Engineering and development | |||||||||||||||||||||
| expense | 1,059,000 | 1,312,000 | 2,027,000 | 2,673,000 | |||||||||||||||||
| Operating loss | (1,408,000 | ) | (281,000 | ) | (1,914,000 | ) | (584,000 | ) | |||||||||||||
| Loss before income taxes | (1,389,000 | ) | (260,000 | ) | (1,858,000 | ) | (524,000 | ) | |||||||||||||
| Income tax expense | 8,000 | 19,000 | 16,000 | 38,000 | |||||||||||||||||
| Net loss | $ | (1,397,000 | ) | $ | (279,000 | ) | $ | (1,874,000 | ) | $ | (562,000 | ) | |||||||||
Loss per share: | |||||||||||||||||||||
| Basic and Diluted | $ | (.31 | ) | $ | (.06 | ) | $ | (.42 | ) | $ | (.13 | ) | |||||||||
| Shares used in computing | |||||||||||||||||||||
loss per share: | |||||||||||||||||||||
| Basic and Diluted | 4,495,000 | 4,476,000 | 4,489,000 | 4,484,000 | |||||||||||||||||
Contacts:
Investor Relations:
Joan Wolf,
631-650-6201
