IntriCon Corporation (NASDAQ: IIN), a designer, developer, manufacturer and distributor of miniature and micro-miniature body-worn devices, today announced financial results for its fourth quarter and year ended December 31, 2011.
For the 2011 fourth quarter, the company reported net sales of $14.5 million, consistent with net sales of $14.5 million for the prior-year period. IntriCon reported a net loss in the 2011 fourth quarter of $352,000, or $0.06 per diluted share, compared to a net loss of $169,000, or $0.03 per diluted share, for the prior-year fourth quarter.
“2011 was a year of significant investment in core technology development, global manufacturing infrastructure and specific program initiatives, most notably hi HealthInnovations,” said Mark S. Gorder, president and chief executive officer of IntriCon. “We believe we have set the stage for sustained growth in 2012 and beyond. We fully expect to see the benefits of our initiatives in the near and long term.
“Looking at our business as a whole, economic softness is leveling off and we’re starting to deliver sequential financial improvement. Medical revenues posted double-digit gains over the prior-year fourth quarter and we’re beginning to see the top-line impact of our hi HealthInnovations work.“We believe that these trends, combined with the fact that we continue to invest in pipeline-building core technologies, position us well for the future. We’re helping companies reduce their costs by shifting the point of care from more expensive settings, like hospitals and clinics, to less expensive ones, such as the home or Internet, and meeting the growing demand for small and lightweight, advanced body-worn medical devices that connect patients and caregivers in non-traditional ways.” Fourth-Quarter ResultsFourth-quarter medical sales increased 14.3 percent over the prior year, benefiting from rising sales to Medtronic and other key medical customers. Hearing health revenue declined 6.8 percent from the prior-year fourth quarter. This was primarily due to overall hearing health industry softness, partially offset by initial revenues from hi HealthInnovations. Professional audio communications sales were down 10 percent from the prior-year fourth quarter chiefly due to softness in various international niche markets. Said Gorder, “Our work with hi HealthInnovations started to slowly ramp up in the fourth quarter, and this helped to mitigate declines in our traditional hearing health markets. We expect this ramp to continue in the 2012 first quarter. Moreover, we have a technically advanced product line with our innovative digital signal processing (DSP) circuits, such as our nanoDSP, Overtus™ DSP Amplifier, and complete systems such, as our APT™ and Lumen™. We anticipate these lines contributing to future growth in the traditional hearing health business, as this market rebounds.