MELVILLE, N.Y.: Chyron ended its third quarter with a net loss of $800,000 or 5 cents a share, on revenues of $6.4 million that were down 31 percent from a year ago. Chyron (NASDAQ: CHYR) posted a 3Q08 profit of $16.7 million that included a $16.4 million tax benefit.
“Third-quarter revenues were in line with the experience of the previous nine months,” said Chyron chief Michael Wellesley-Wesley. “Many of our broadcast customers have curtailed their capital equipment spending and have deferred or cancelled planned upgrade programs. We have adjusted to this new reality by reducing headcount and cutting salaries while continuing to push forward our product development as aggressively as possible.”
Wellesley-Wesley said 3Q09 R&D investment was 29 percent of revenues, and he said there was continued “widespread” interest in Axis, the online graphics platform the company acquired last year.
“Today we have five of the top 20 TV station
groups as AXIS customers and I confidently expect other major TV station groups to join Fox, Scripps, Sinclair, Post Newsweek and Gannett as Axis customers in 2010,” Wellesley-Wesley said. “We believe we are the leading cloud service provider in the media content creation space.
“We are also seeing early signs of increasing demand for our broadcast systems and I expect our fourth-quarter revenue to reflect this improvement. We believe that year-over-year comparisons should show improvement from this point forward.”
-- Deborah D. McAdams
More onChyron:
August 13, 2009: “Chyron Posts 2Q Loss on Contracted Broadcast Spending”
Chyron posted a 2Q loss of $1.1 million on revenues of $5.8 million for the quarter ending June 30. Revenues were down 42 percent.
March 30, 2009: “Chyron Posts ’08 Profit on Tax Benefit”
Chyron generated $34.3 million last year, up 6 percent from $32.3 million in 2007. Net income was $17.8 million, compared to $3.7 million the previous year, driven primarily by combined tax benefits of $18 million.
January 17, 2008: “Chyron Acquires Axis Graphics for $3 Million”
Chyron, acquired New York-based Axis Graphics for $3 million in cash and stock.
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