Nov 14 Hemisphere GPS Inc, which makes
navigation systems, said it will exit its
non-agriculture-related business and cut 38 percent of its total
The company, which appointed Rick Heiniger chief executive
in September, said it expects to save $7 million annually from
the restructuring. The total workforce will be reduced from 273
to about 170.
Hemisphere said diversification into marine, construction
and other industries had increased costs, absorbed cash and
distracted management focus from its core agriculture business.
The agriculture business contributed 81 percent of the
company's revenue in the first nine months of 2012.
The company, valued at $46.4 million, reported a wider
quarterly loss and said it no longer expects to meet its target
of 10 percent revenue growth in the year.
Net loss widened to $2.8 million, or 4 cents per share, in
the third quarter, from $1.6 million, or 3 cents per share, a
Revenue remained flat at $14 million.
Shares of the company closed at 70 Canadian cents on the
Toronto Stock Exchange on Tuesday.