Commodore International Posts $20.8-Million Loss
Commodore International reported a loss of $20.8 million for the third quarter ended March 31, compared to net income of $36.3 million in the same period last year. Sales for the quarter declined 48.5% to $168.3 million.
Net income for the nine-month period was $10.1 million, compared to $110.7 million in the same period last year.
Sales fell to $751.2 million from $966.9 million.
Chairman Irving Gould said that “third-quarter revenue and earnings were affected by a price reduction in February, a reluctance of retailers to rebuild rapidly their depleted Commodore products inventory and by the general slowdown in our non-U.S. sales.”
Gould said the third-quarter and nine-month results were also hurt by the strong dollar. Had the dollar been at the previous year’s level, Gould said, revenue would have been $15.3 million higher for the quarter and $68.6 million for the nine months.
He added that, “while current market conditions lead us to anticipate a loss for fiscal 1985, we are confident that Commodore’s worldwide strength in product, manufacturing and distribution positions the company well for renewed growth and profitability in the near future.”