TEMPE, AZ, Nov. 1 -- Three-Five Systems reported net sales of  $42.4 million and a net loss of $30.8 million for its September quarter. The company had a net loss of $30.9 million on sales of $41.8 million a year ago. 

The results include a $23.1 million charge for the impairment of goodwill and a $1.8 million writeoff of
customer lists associated with the acquisitions of ETMA and AVT, respectively. TFAS also took a $1.6 million charge for excess inventory and transition issues relating to completion of the move of the display business from the company's factory in Manila to a factory in Beijing.
For the quarter, the cost of sales was $42.5 million, up from  $41 million last year. Gross margin was a loss of 0.1, versus 1.4 last year.
   
Jack Saltich, president and chief executive, said in a statement, "We have been concentrating our efforts this year on streamlining our global manufacturing operations and correcting issues in our Redmond factory. Optimizing our global infrastructure has taken a significant effort. I believe we are starting to see success from these endeavors."

Separately, TFS named Leslie Honda regulatory affairs director, a new post. Honda was vice president of quality and regulatory for ClearMedical Inc., a medical devices reprocessor.

• Prev
• Next