- Q3 2016 consolidated sales were $25.6 million, compared to $32.2 million in Q3 2015, primarily due to lower legacy product sales at Suttle.
- CSI's manufacturing business units registered strong new product sales 1 growth in Q3 2016.
- Suttle's new product sales increased 36% year over year to $3.4 million.
- Transition Networks' new product sales rose 118% year over year to $3.0 million.
- Q3 2016 consolidated operating loss was $1.2 million compared to operating income of $0.4 million in Q3 2015, primarily driven by a $2.6 million operating loss at Suttle as a result of declining legacy product sales volumes and pricing.
- Transition Networks recorded a significant improvement in operating income, which grew 80% to $1.6 million from $0.9 million in Q3 2015, reflecting the favorable impact of cost reduction initiatives. JDL Technologies also contributed $0.5 million to consolidated operating income in Q3 2016.
- Q3 2016 net loss was $1.3 million, or $(0.14) per diluted share, compared to net income of $1.3 million, or $0.15 per diluted share, in Q3 2015. The 2015 third quarter benefited from a $1.1 million, or $0.13 per diluted share, R&D tax credit related to years 2011-2014. Due to losses sustained in 2015 and 2016, a tax valuation allowance has been applied to the 2016 tax provision resulting in no tax benefit being booked in the current year.
- Net cash, cash equivalents, and investments totaled $12.8 million as of September 30, 2016.
Communications Systems, Inc. (NASDAQ:JCS) ("CSI" or the "Company"), a global provider of connectivity infrastructure and services for deployments of broadband networks, today announced financial results for the third quarter ("Q3") ended September 30, 2016, including a discussion of results of operations by segment. Third Quarter 2016 Summary