Helionetics to Report Second-Quarter Loss

Helionetics Inc. will report a “substantial” but non-recurring loss for the second quarter as it continues to scrap marginal operations and product lines associated with former management, said Michael M. Mann., president and chief executive.

Mann would not estimate the size of the loss at the Irvine electronics firm but said that little will come from ongoing operations. He added that the company expects to be profitable for the third and fourth quarters. In last year’s second quarter, Helionetics posted net income of $556,300 on sales of $7.2 million.

The company’s second-quarter results are scheduled to be released in mid-August.

“We’ve reassessed the advisability of some products proposed by former management and have elected not to pursue them,” Mann said in an interview Wednesday. Among those discontinued products are some computer peripherals, he said.

Second-quarter losses will also stem from costs associated with the company’s recent move to Irvine and expenses related in laying off 190 workers during the first five months of the year.