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Cos. reported a $281,000 loss in its latest fiscal quarter after sales dropped
a whopping 65 percent.
Hurco announced after the
market closed Friday that it lost 4 cents per share in the second quarter,
which ended April 30. That’s down dramatically from the $5.5 million, or 85
cents per share, it made in the same quarter last year.
Revenue fell to $20.5
million, a decrease of $37.8 million.
Hurco shares today tumbled
as investors reacted to the earnings report. The stock late this morning was
trading at $13.25, down $1.11, or 7.3 percent.
The company designs and
produces interactive computer controls and software for the metal-cutting and
metal-forming industry.
Sales dropped in all of the company’s major markets – 69 percent in Europe, 67
percent in Asia and 47 percent in
Nearly 30 percent of Hurco’s
sales decline can be attributed to a decrease in sales of higher-priced
machines in
pressures globally.
“Although the order pattern
this quarter has stabilized, we will continue our fiscally conservative
approach so that the company will be ready to capitalize on opportunities when
conditions improve,” CEO Michael Doar said in a statement.
The company has reduced pay,
cut staff and suspended 401(k) matching contributions to cut costs, it said in
a press release.
Hurco officials could not be reached this morning to comment on specific staff
reductions.
Shares of Hurco traded as
high as $38.24 in August. Even with today’s decline, the stock is well above
its recent low of $8.30 in March.
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