Variflex Suffers Losses, Continues to Rebuild

Variflex Inc. in Moorpark, a provider of in-line skates, skateboards and other recreational products, reported a net loss of $3.5 million or 58 cents per share on revenues of $43.1 million for the 12 months ending July 31.

This compares to a net loss of $1.8 million or 30 cents per share on revenues of $51.7 million for the fiscal year that ended July 31, 1997.

The results included three unusual noncash expenses that accounted for approximately $2.5 million of the loss, company officials said.

Variflex reported a net loss of $699,000 or 12 cents per share on revenues of $8.3 million for the fourth quarter, compared to a loss of $895,000 or 15 cents per share on revenues of $11 million for the same three-month period a year ago.

“This has been a year of rebuilding for Variflex as we focused on taking the steps we believe necessary to position the company for long-term growth and profitability,” said board chairman Mark S. Siegel. “We added management expertise and focused on new products.”