Thursday, Flow International Corp. (FLOW), an industrial waterjet machine maker for cutting and cleaning applications, reported a net loss for the fourth quarter from a profit last year, absent a tax benefit recorded in the year-ago quarter. The company's quarterly results were also significantly impacted by lower revenues and higher expenses.
For the fourth quarter, Flow International reported a net loss of $4.5 million or $0.12 per share, compared to net income of $13.3 million or $0.35 per share in the prior year quarter. The year-ago result included a tax benefit of $11.80 million from the reversal of a valuation allowance.
Excluding items, pro forma net loss was $1.3 million or $0.03 per share, compared to net income of $1.5 million or $0.04 per share in the previous year quarter.
Fourth quarter revenues declined 31% to $43.7 million from $63.3 million in the same quarter last year.
On average, 3 analysts polled by Thomson Reuters expected a loss of $0.16 per share, on revenue of $42.99 million for the fourth quarter.
Charley Brown, president and CEO of Flow, said, "We continue to see the impact of the global economic slowdown in portions of our business. We feel that roughly two-thirds of our fourth quarter revenue stream has stabilized while one-third remains more volatile during these difficult economic times."
Standard Segment sales for the fourth quarter declined 43% to $32.6 million, while Advanced Segment sales jumped 82% to $11.1 million from a year ago.
Operating expenses for the fourth quarter increased 9% to $22.4 million from $20.5 million in the fourth quarter a year ago.
For fiscal 2009, the company reported a net loss of $23.8 million or $0.63 per share, compared to net income of $22.4 million or $0.59 per share in the previous year. On pro forma basis, net income was $0.16 million or $0.00 per share, compared to $13.3 million or $0.35 per share in the prior year.
Annual sales declined 14% to $210.1 million from $244.3 million in the preceding year.
Analysts expected the company to report a loss of $0.73 per share on revenue of $209.35 million for the year.
FLOW closed Thursday's regular trading session at $2.37, up 15 cents or 6.76%. In after-hours, the company's share further gained 25 cents or 10.55%.
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