Storage products maker
SmartDisk Corp. has reported its FY2001 second quarter financial results. While the company reported a loss, SmartDisk’s revenue and operating results for the quarter surpass guidance that the company had previously offered.
For the period ending June 30, SmartDisk reported revenues of US$20.7 million, and an operating loss of $1.8 million. SmartDisk had earned $30.9 million for the same quarter last year and had reported earnings of $1.5 million during that same quarter. Regardless of the results, SmartDisk pointed out that the quarterly loss was actually lower than the company had previously suggested — SmartDisk’s second quarter revenue guidance was about $18 million.
SmartDisk president and CEO Michael S. Battaglia said that his company is pleased with its Q2 and first half results.
“Despite a challenging economic climate, our revenue, operating results and cash flow performance are encouraging. In addition, the Company continues to expand its product lines, implement new marketing and sales initiatives, and improve its operations,” said Battaglia.
SmartDisk said that the decline in Q2 revenue was mainly the result of ongoing weakness in sales of its FlashPath products — floppy disk adapters designed for various types of solid-state storage products, like Smartmedia cards, MultiMediaCards, and Sony Memory Sticks.
Highlights for SmartDisk’s second quarter included the public debut of the FireFly, a 5GB palm-sized hard drive, which the company showed off at Macworld Expo in New York. The company introduced a consumer promotion of its FireWire portable CD-RW drive in conjunction with Apple. SmartDisk also consolidated its Acton, MA. facility into the Naples, FL. headquarters.
For the coming quarter, SmartDisk hopes to be able to pull in between $23-$25 million in revenues, hopefully narrowing its losses to $0.05 per share, and possibly even braking even. The company said that it expects to be cash positive for the rest of the year, and said that it’ll satisfying its cash requirements from reserves and operations.
SmartDisk makes a variety of Macintosh-compatible products, including PowerBook expansion bay drives, hard drives, RAID systems, removable storage systems, flash card readers, and more.