Loss Expected for Alpha Microsystems

Alpha Microsystems said Friday that it will report losses for its current quarter and the fiscal year.

For its fourth quarter, which ends Feb. 26, the company said it expects to take write-offs of between $3.5 million and $4.5 million. Losses for the first nine months of the fiscal year totaled $928,000.

By contrast, the Santa Ana-based software developer posted a small profit for the previous year, earning $336,000, or 8 cents a share, on revenue of $39.3 million.

The company blamed its current shortfall on its service unit, which it said has experienced both a decline in revenue and an increase in expenses.

Alpha Microsystems said it is taking action to improve the unit’s performance. A spokesman for the company would not give details of any solutions for the unit, however, beyond a management change.

Gerald Knight, who had served as national director of service for Alpha Microsystems, has resigned from the company. Alpha Microsystems would not comment on his departure. Knight has been replaced by Randy Parks, who previously was manager of Alpha Microsystems’ Eastern U.S. operations.