ProPhotonix Loses $983K in Q2
SALEM, N.H., Aug. 20, 2010 — ProPhotonix Ltd. (formerly StockerYale Inc.) posted a $983,000 loss for the second quarter of 2010, up from $718,000 one year ago, as the company refocuses its business strategy toward LED production for the medical and general lighting markets.
In its earnings announcement, the company pointed out that its sales for the quarter, which ended June 30, have increased 41 percent year-over-year, with LED revenue up more than 100 percent from Q2 2009 and 34.7 percent sequentially. The company's backlog improved as its orders increased from the solar, medical, optical character recognition, food inspection and semiconductor industries.
Net sales for the quarter were $3.6 million, up from $2.5 million one year ago.
"Since the business was refocused last year, we have seen significant improvement in both our LED and laser business units," said Chairman and CEO Mark W. Blodgett. "As part of the sale of the company's North American operations last October (See StockerYale Sells to Coherent), senior management and the board have refocused the business strategy of the company. The strategy is to significantly grow the LED business over the coming several years by leveraging the company's strengths, including its expertise in designing high intensity and energy efficient LED devices, for new markets such as medical and general illumination."
Sources estimate that the market penetration for LEDs is currently less than 3 percent of the $100 billion general illumination market, he added.
"With that in mind we are doubling our LED product manufacturing capacity by the end of the fourth quarter 2010. We intend to also make further investments in our laser module business unit to continue the growth in this market space," Blodgett said.
He also reported that the company will seek admission on AIM, the London Stock Exchange's international market for smaller growing companies, since it now operates in Ireland and the UK.
For more information, visit: www.prophotonix.com
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