ATS posts third quarter loss
Firm's automation business strengthens but not enough to overcome Photowatt France restructuring losses.Comments Off on ATS posts third quarter loss
Cambridge, Ont. – ATS Automation Tooling Systems Inc. says it dropped to third-quarter loss of $11.9 million on charges related to restructuring its solar products division in France.
The southwestern Ontario-based maker of machinery and equipment for industrial and automotive markets said the loss was equal to 14 cents per share, compared to a profit of $3.7 million or four cents a share a year ago.
The latest quarterly results were impacted by a $9 million charge at its Photowatt France wing, which the company has considered spinning off.
Overall, ATS revenues climbed to $192.5 million from $138.1 million reported a year ago. The company’s Automated Systems Group (ASG) saw year-over-year revenues increase by 59 percent in the third quarter with an operating margin increase from 11% to 12%. Year-over-year, the ASG’s EBITDA was $16.8 million compared to $17.0 million in the second quarter of this fiscal year and $10.0 million in the same period a year ago.
“Our Automation Systems Group performance was strong and we saw improvements in our markets, however losses at Photowatt France negatively impacted consolidated results,” said CEO Anthony Caputo in a release. “Photowatt has initiated a restructuring project designed to recover competitiveness. The company is pursuing a clear path to prepare for the contemplated separation of Photowatt.”
ATS Automation provides technology and equipment used by companies in industries such as life sciences, computer/electronics, energy, automotive and consumer products.
The company employs about 3,000 people at 21 manufacturing plants in Canada, the United States, Europe, Southeast Asia and China.
© 2011 The Canadian Press