CTI Molecular Imaging reported fiscal third-quarter net revenues of $91.8 million, down 7.5% compared with the $99.2 million turned in during the same period in 2003. For the quarter (end-June 30), the Knoxville, TN-based vendor posted net income of $2.7 million, compared with net income of $7.5 million last year.
As previously announced, CTI's performance in the quarter was a result of unexpectedly soft demand in the PET and PET/CT market, as well as temporary transitional issues related to its sales-force realignment with Siemens Medical Solutions, according to CTI president and CEO Ronald Nutt, Ph.D. Nutt said that market demand for PET and PET/CT systems will remain sluggish through fiscal 2005, particularly in the U.S. market.
CTI sold 33 scanners and booked orders for 42 units during the third quarter, compared with sales of 49 units and orders for 65 units last year. The company said that fourth-quarter operational results will be determined by the success it has in translating prior orders into sales and minimizing cancellations during the transition of its distribution efforts. As such, the company's fourth-quarter performance is expected to be in line with the low end of its prior guidance, with net revenues of $110 million to $115 million and earnings per share of 17¢, CTI said.
By AuntMinnie.com staff writersAugust 5, 2004
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