Planar sees sales, income decline as it readjusts with new leadership

Flat-panel display system provider Planar Systems is still having a rough time of it in fiscal year 2005, compared to the previous year. As it released its financials it also announced plans for improvements.

The company saw sales of $54.5 million in the fourth quarter ended September 30th, 2005, which is a decrease of 20 percent from a year-ago, though the company points out that it's a  2 percent rise looked at sequentially. Planar also saw a net loss per share of $2.18.

"Two quarters ago the company took steps to improve our cost structure and the results this quarter are enhanced by that effort," said Gerry Perkel, president and CEO, Planar, who recently joined the company. "We are pleased that our results this quarter were consistent with previously set expectations."

Sales in the company's medical segment were $17.9 million, up 4 percent from the previous quarter. Other positive signs include the company's cash position which showed improvement by ending the quarter at $65.2 million, with a negligible level of debt and capital leases, Planar said.

Perkel remains optimistic, stating "As I have looked at Planar over my first few weeks I can see both challenges and opportunities upon which to build. We have a very profitable Industrial Business Unit anchored with our world class EL technology base. Our challenges are to seek out growth opportunities for this highly differentiated technology position. We have a Medical Business Unit with some good growth opportunities ahead. We have been retooling this business to pursue such growth and in parallel drive enhanced profitability," he said.

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