Advertisement
YOU ARE HERE: LAT HomeCollections

EARNINGS

Datum Inc. Sees Fall in Quarter's Earnings

October 24, 1985

Citing a one-time charge for cost overruns on a government contract, Datum Inc. said its third quarter earnings fell to $141,000 from $346,000 for the comparable period last year.

The Anaheim-based maker of frequency and timing instruments declined to discuss the project but said it encountered unexpected "technical difficulties." An additional $160,000 will be required to complete the work, Datum said, but no further cost adjustments are anticipated. Datum said it expects to complete the fixed-price contract in January and will show a profit on the project.

Analysts had projected third quarter income of about $250,000, the company said.

Revenue for the third quarter also declined, Datum said, totalling $4.7 million compared with $5.1 million for the first nine months of 1984.

For the nine months, the company reported net income of $623,000, compared with $1.1 million for the comparable period a year earlier. The year-ago figure included a tax credit of $98,000. Revenue for the period was $13.8 million compared with $14.1 million for the first nine months of 1984.

Datum said its expectations for the fourth quarter "remain very high" and "definitely" should exceed second quarter earnings, which were $242,000, the high for the year.

"The company's shippable backlog suggests considerable improvement over any quarter thus far in 1985," said Louis B. Horwitz, chairman and president.

Advertisement
Los Angeles Times Articles
|
|
|