Ailing Computer Automation May Post Profit for 4th Quarter

Computer Automation Inc.--citing a substantial reduction in operating costs--said it expects to break even or report a small net income for the fourth quarter of the fiscal year, compared to an $8.8-million net loss for the comparable quarter in fiscal 1985.

But the ailing Irvine-based maker of electronics test equipment said it probably will post a net loss for fiscal 1986. Computer Automation lost $4.6 million during the first nine months of the year, which ended June 30.

The company said it expects to report revenue of $5.9 million for the fourth quarter, compared to $9.5 million in the same quarter a year ago. The drop in operating costs--as well as the decline in revenue--stems mostly from a year-old reorganization and consolidation program.

In the quarter ended March 31, the company posted a net profit of $1.67 million, the first quarterly gain after a string of 12 losses. The company lost $25.1 million between July 1, 1982, and March 31 of this year.

Computer Automation said it has restated its losses for the fourth quarter of 1985 to include a $2.4-million loss from discontinued operations. The total loss of $8.8 million also includes $1.3 million in consolidation expenses.