CyberOptics Corporation (Nasdaq: CYBE) today reported operating results for the third quarter of 2010 ended September 30.
- Consolidated sales totaled $14,145,000, up 65% from $8,550,000 in the third quarter of 2009.
- Operating income was $1,174,000, compared to the operating loss of $1,724,000 in last year’s third quarter.
- Net income came to $948,000 or $0.14 per diluted share, compared to the net loss of $841,000 or $0.12 per diluted share in the year-earlier period.
- Cash and marketable securities totaled $19.7 million at the end of the third quarter, compared to $18.4 million at the end of this year’s second quarter.
Kathleen P. Iverson, chief executive officer and chair, commented: “As anticipated, CyberOptics’ sales returned to more normal levels in the third quarter, following the exceptionally strong results that we posted in the prior quarter due to pent-up demand and SMT production capacity build-outs, particularly in Asia. We are pleased that our earnings were within the range of our previously reported guidance for this period even though third quarter revenues were affected by the delayed acceptance by an original design manufacturer (ODM) customer for a significant order for our next-generation QX500 automated optical inspection (AOI) system. We are confident of recognizing the revenues from this order in the fourth quarter. We also continue to believe the global electronics industry has entered a multi-year upturn. Within this favorable context, our quarterly performances will continue to reflect near-term levels of customer demand and normal seasonal considerations. In all, we believe CyberOptics’ sales and earnings will remain highly positive in coming quarters, and we are currently anticipating accelerating demand for both sensors and inspection systems in 2011.”
She continued: “Third quarter sales of alignment sensors to manufacturers of robotic pick-and-place equipment, including Juki, Assembleon and DEK, increased 6% from the strong level posted in this year’s second quarter. Sales of inspection systems were down 37% from the second quarter, due to the delayed customer acceptance issue as well as more normalized levels of customer demand. In addition to continued sales of our industry-leading SE500 solder paste inspection (SPI) system, we recorded solid sales of the SE350 SPI system that was introduced in this year’s first quarter. Utilizing our industry-leading 3D technology, the SE350 is our first mid-range offering. As a lower-cost system, the SE350 is designed for customers that do not require the full inspection functionality of the SE500, including those who currently deploy no form of solder paste inspection. We also are encouraged by the market’s acceptance of our next-generation QX500 AOI system that was introduced late in the second quarter. Featuring the fastest AOI inspection times currently available, the QX500 is based upon a cost-reduced platform that exceeds the performance metrics of competitors’ systems. Third quarter QX500 activity included sales to a new customer in Japan and a major electronics manufacturer in Europe. We believe the QX500 will be a strong growth driver going forward, particularly in the ODM market segment where we have established a large installed base of solder paste inspection systems. CyberOptics’ third quarter revenues also benefited from continued shipments of solar wafer alignment cameras to an equipment manufacturer for the photovoltaic cell market. Shipments to this customer are forecasted to remain strong in the fourth quarter. The solar arena represents a promising new market for our inspection technology, and we are evaluating opportunities for our inspection technology in additional areas beyond our traditional SMT market.”