Poor 4th Period Gives MSI 1st Losing Year in a Decade
Confirming its earlier estimates, MSI Data Corp. of Costa Mesa announced Monday that it lost $2.1 million in the final quarter of fiscal 1985 and $1.5 million in the entire year.
It was the first full-year loss in a decade for the company, which manufactures hand-held inventory counting devices. The company blamed the losses on unexpected costs of introducing a new product line and increased spending for research on additional product improvements.
For the quarter ended March 30, the company’s revenues were $14.7 million, a 9.5% decline from the $16.3 million recorded last year. Earnings in the year-ago quarter were $884,000.
For the entire year the company had revenues of $56.1 million, down 8.2% from the $61.2 million recorded last year. Profits last year were $4.1 million.
Charles S. Strauch, president and chief executive, said that although the new products have been selling well, “it will be some time before we see benefits in the revenue and profit column” from them.