Key Developments For Key Technology Inc
Key Technology Inc (KTEC.O) (Consolidated Issue listed on NASDAQ Global Market)
Key Technology, Inc. Comments On Q1 2010 Revenue Guidance
Key Technology, Inc. announced that for first quarter of 2010, it expects revenue to be substantially less than the revenue recorded in the fourth quarter of 2009. The Company reported revenues of $28.6 million in fourth quarter of 2009. According to Reuters Estimates, analysts on an average were expecting the Company to report revenue of $25.00 million for the same period.
Key Technology, Inc. Comments On Q4 2009 Outlook; Announces Initiatives Including Planned Reduction Of 7% Of Global Workforce
Key Technology, Inc. announced that for the fourth quarter of 2009, it anticipates net sales to be reasonably consistent with the net sales for the third quarter of 2009. Net earnings from operations for the fourth quarter 2009, however, excluding the restructuring and valuation charges to be taken in the quarter, are still expected to be below third quarter 2009 results. The Company reported earnings per share (EPS) of $0.09 and revenue of $26 million in the third quarter of 2009. According to Reuters Estimates, analysts on an average are expecting the Company to report net earnings per share (EPS) of $0.03 on revenue of $26 million for the fourth quarter of 2009. The Company announced that it is taking actions to reduce costs and position the Company for fiscal 2010. These initiatives include a planned reduction of 7% of its global workforce initiated September 30, 2009. The Company estimates that it will take an $875,000 pre-tax charge against earnings for termination benefits related to the workforce reduction in the fourth quarter of fiscal 2009. These workforce and other cost reductions will primarily affect staffing levels and costs in operating expense areas.
Key Technology, Inc. Lowers Q2 2009 Revenue Outlook; Issues Q2 2009 Earnings Outlook Below Estimates; Lowers FY 2009 Revenue Outlook; Comments on FY 2009 Profit Outlook; Announces Cost Reductions
Key Technology, Inc. announced that for second quarter 2009, it expects net sales to be 10% to 15% lower than net sales in the first fiscal quarter of 2009 and, as a result, projects an after-tax net loss for the second quarter of between $1.5 million and $2.0 million. The projected net loss for the second quarter includes a $700,000 pre-tax charge for termination benefits related to the workforce reduction and a $343,000 pre-tax write-off of previously incurred costs associated with a potential facility expansion. For fiscal 2009, the Company continues to expect net sales to be approximately 20% lower than net sales in fiscal 2008. The Company expects to be modestly profitable in fiscal 2009. According to Reuters Estimates, analysts on an average were expecting the Company to report revenue of $27.70 million and net profit of $0.30 million for second quarter 2009; revenue of $125.2 million for fiscal 2009. The Company also announced that it is taking a variety of cost reduction initiatives during fiscal 2009 to maintain profitability for the fiscal year. These cost reduction initiatives include a planned reduction of approximately 7% in its global workforce. The initiatives also include cancellation of fiscal year cash and stock incentive awards, temporary reductions in pay for all U.S. personnel, suspension of 401(k) matching, mandatory leave and other cost reduction measures.
Key Technology, Inc. to Acquire Minority Interest in Proditec SAS
Key Technology, Inc. announced it has reached an agreement to acquire a minority interest in Proditec SAS. Proditec is a manufacturer of automated, solid dose pharmaceutical inspection systems based on machine vision technology. Proditec is headquartered in Pessac (Bordeaux), France. Key Technology, Inc. will acquire a 15% minority interest for EUR870,000, or approximately $1.1 million, within the next 30 days, subject to certain conditions. The Company will also acquire an exclusive option to purchase the remaining interest in Proditec through October 5, 2009.
Key Technology, Inc. Issues Q2, FY 2009 Revenue Guidance-Conference Call
Key Technology, Inc. announced that for second quarter 2009 it expects revenues to be consistent with the first quarter of 2009. For fiscal 2009 it expects revenue to be similar to or lower than its revenue recorded in fiscal 2008. The Company reported revenue of $27.38 million for first quarter 2009 and $134.09 million for fiscal 2008. According to Reuters Estimates, analysts are expecting the Company to report revenue of $27.5 million for second quarter 2009 and $129.09 million for fiscal 2009.
