Hutchinson Technology Reports Fourth Quarter Loss On Reduced Volume
Regarding the outlook for suspension assembly demand, the company expects its shipments in the fiscal 2011 first quarter to be 100 million to 110 million, in what it believes will be the low point for quarterly volume in fiscal 2011.
"Looking further ahead, we expect TSA+ suspension assemblies to account for a steadily increasing proportion of our shipments, growing from approximately a third of shipments in the fiscal 2010 fourth quarter to half of our shipments by mid-year and two-thirds of our shipments by year end," said Skarvan. "We are also shipping prototypes of dual-stage actuated (DSA) suspensions to four of the five hard disk drive OEMs, and we have received very positive feedback regarding the performance of our DSA suspensions in their tests."
Net sales for the BioMeasurement Division totaled $682,000 in the fiscal 2010 fourth quarter, up from $536,000 in the preceding quarter and $624,000 in last year's fourth quarter. Most of the sequential quarter increase in net sales resulted from repeat sensor sales to existing customers. For the full fiscal year, the number of sensors sold increased 63 percent compared with fiscal 2009 as repeat sales increased off of the growing base of installed monitors. At the end of fiscal 2010, the installed base of monitors totaled 344 across 138 customers compared with 222 across 98 customers at the end of fiscal 2009.Rick Penn, president of the BioMeasurement Division, said that cost reductions in the division are nearly complete. "We expect to narrow the division's fiscal 2011 operating loss to less than $8 million compared with $24 million in fiscal 2010," said Penn. The division's net sales in fiscal 2011 are currently expected to range from $3 million to $5 million compared with $2.4 million in fiscal 2010. The division's expectations for fiscal 2011 net sales are contingent upon growing market acceptance of its existing and new products and upon hospital spending levels, which have been constrained by industry economic conditions.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV