Patent Licensing Royalties Boost Patlex’s Earnings

Patlex, a Chatsworth laser company, said it earned $357,000, or 5 cents a share, in the second quarter compared with a $228,000 loss a year earlier.

Patlex’s revenue jumped 43% to $5.6 million from $3.9 million, in large part because Patlex’s income from licensing royalties soared to $2 million from $757,300.

Patlex makes lasers and receives 64% of the licensing income from several patents held by laser pioneer Gordon Gould. Gould, with Patlex’s financial help, recently secured the patents and Patlex has now signed licensing agreements with dozens of laser companies who will pay royalties for the continued use of Gould’s technology.

In the six months ended June 30, Patlex earned $724,300, or 11 cents a share, compared with a year-earlier loss of $1.16 million. Six-month revenue rose to $10.6 million from $6.3 million.