Planar Systems, Inc. (NASDAQ:PLNR), a worldwide leader in specialty display systems, today announced preliminary financial results for the fiscal second quarter ending March 30 th, 2012 and updated expectations for certain financial results for the full fiscal year ending September 28 th, 2012.
- For the fiscal second quarter of 2012, the Company now expects revenue of approximately $38 million, a Non-GAAP loss between $0.15 and $0.20 per share (see reconciliation table), and an ending net cash balance of approximately $15 million.
- The Company intends to record a restructuring charge in the fiscal second quarter of 2012 of approximately $0.6 million relating to a cost reduction plan designed to lower the on-going expense level to correspond with the lower level of revenue expected over the next few quarters. The Company expects the restructuring plan, and other cost reduction actions, will reduce on-going expenses, on a Non-GAAP basis, by approximately $2.0 to $2.5 million per quarter.
- For the full fiscal year 2012, the Company now expects revenue in the range of $175 to $185 million and a Non-GAAP loss between $0.28 and $0.33 per share.
The Company issued a press release on February 7, 2012 which reported that the Company expected sales in the second fiscal quarter to be between $45 and $48 million. However, the Company has experienced a weaker than expected order rate for a number of its products over the past month. Given this updated revenue expectation for the fiscal second quarter and full fiscal year, the Company is taking actions to reduce on-going expenses to allow for a lower break-even level. The Company continues to see opportunities to grow sales of its digital signage products and does expect sales to be higher in the second half of fiscal year 2012 compared with the first half. Based on this higher revenue level, combined with lower expenses as a result of the cost reduction actions, the Company believes it will report a slight profit on a Non-GAAP basis in the fiscal fourth quarter of fiscal 2012.