Schmitt Industries Q1 2017 total sales decreased 6.8%
Staff Writer |
Schmitt Industries, announced its operating results for the 2017 first quarter ended August 31, 2016.
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Total sales decreased $211,852, or 6.8%, to $2,892,532 from $3,104,384 for the three months ended August 31, 2015.
Net loss was $125,629, or $(0.04) per fully diluted share, for the three months ended August 31, 2016 as compared to net loss of $195,062, or $(0.07) per fully diluted share, for the three months ended August 31, 2015.
Balancer segment sales focus throughout the world on end-users, rebuilders and original equipment manufacturers of grinding machines with the target geographic markets of North America, Asia, Europe and South America.
Balancer segment sales decreased $366,619, or 19.0%, to $1,560,876 for the three months ended August 31, 2016 compared to $1,927,495 for the three months ended August 31, 2015, primarily due to weaker sales in North America, China and other parts of Asia.
The Measurement segment product line consists of Acuity laser-based distance measurement and dimensional sizing laser sensors, Xact ultrasonic-based remote tank monitoring products, and SMS and Lasercheck laser-based surface microroughness measurement systems.
Total Measurement segment sales increased $154,767, or 13.2%, to $1,331,656 for the three months ended August 31, 2016 compared to $1,176,889 for the three months ended August 31, 2015.
This increase is primarily due to increases in sales of our Xact remote tank monitoring products and related revenues from monitoring services along with increases in sales of our SMS products offset by decreases in sales associated with the two other product lines in the Measurement segment.
Gross margin for the three months ended August 31, 2016 increased to 47.6% as compared to 46.5% for the three months ended August 31, 2015.
The fluctuations in gross margin in the three months period ended August 31, 2016 compared to the same three month period in the prior fiscal year is primarily influenced by shifts in the product sales mix involving our five product lines.
Operating expenses decreased $133,278, or 8.2%, to $1,491,516 for the three months ended August 31, 2016 as compared to $1,624,794 for the three months ended August 31, 2015.
General, administrative and selling expenses decreased $125,213, or 8.1%, for the three months ended August 31, 2016 as compared to the same period in the prior year primarily due to a reduction in travel and entertainment expense and decreases in personnel expense. ■