US glass products maker Apogee Enterprises, Inc., based in Minneapolis, has reported a net loss for the third quarter compared to a profit for the same period of 2009, reflecting the continued challen…
US glass products maker Apogee Enterprises, Inc., based in Minneapolis, has reported a net loss for the third quarter compared to a profit for the same period of 2009, reflecting the continued challenging conditions in the commercial construction market. During the same quarter, revenues declined 18%. The company“s net loss for the third quarter was USD 2.32 million or USD 0.08 per share, compared to net income of USD 10.73 million or USD 0.39 per share in the same quarter of last year. Net sales for the third quarter dropped to USD 147.20 million from USD 179.81 million in the same quarter of 2009, while analysts had a consensus revenue estimate for the quarter of USD 151.86 million. Russell Huffer, chairman and chief executive officer of Apogee said, “Although our results continue to be impacted by extremely challenging commercial construction market conditions, we remain focused on our strategies and longer-term opportunities for Apogee.” Huffer added, “Our purchase of a leading architectural glass fabricator in Brazil during the quarter gives Apogee entre to the large developing market for energy-efficient architectural glass products in Latin America. Despite a difficult quarter, we have maintained a strong balance sheet, with more than USD 45 million in cash and short-term investments after funding the acquisition.” Architectural products and services revenue for the third quarter were down 21% at USD 125.74 million due to stagnant non-residential construction markets. Large-scale optical segment revenues were also flat with the prior-year period at USD 21.46 million. Backlog at the company“s architectural products segment was USD 165.7 million, compared to USD 193.0 million at the end of the preceding second quarter and USD 246.4 million at the end of the same period in 2009. Apogee forecasts a net loss for the fourth quarter, with revenues comparable to the 2009 period, when the company reported revenues of USD 148.60 million. According to analysts, the company is expected to report a loss of USD 0.10 per share for the fourth quarter on revenues of USD 148.87 million. The company said it expects fourth-quarter cash flow from operations to be flat to slightly positive. With regards to fiscal year 2011, Apogee forecasts a net loss, with revenues expected to decrease about 17%. Analysts expect the company to report a loss of USD 0.50 per share for the year on revenues of USD 588.43 million.