Nu Horizons posted some decent results last week, all things considered and indicated better times to come.
Sales for their second quarter were $156.6m against $211.8m in the same quarter last year. Sales did however rise six per cent or $8.8m compared with the first quarter of the company's current financial year. Sales in north America and Asia/Pacific rose $9.9m and $2m on the first quarter. European sales fell $3m.
In the first six months Nu Horizons' sales fell to $304.3m, down 26 per cent from $411.9 in the same six months last year.
Arthur Nadata, Executive Chairman and Interim Chief Executive Officer of Nu Horizons stated, "During the second quarter economic conditions remained challenging but we are encouraged by the modest sequential increase in sales over the prior quarter. Visibility remains unclear for the remainder of the year, however based on an improved backlog and previously announced new business initiatives, we believe the company is poised for improving financial performance compared to recent prior periods subject to the world economy continuing to emerge from the deep recession. In August, we became a North American Alcatel-Lucent Master Distributor, which is expected to provide us the opportunity to elevate our Systems division by broadening our marketplace beyond the OEM community."
Cost savings have been made to good effect with a $6.4m decline in the second quarter compared with last year. Net loss for the first six months of the year was $401,000 compared with a profit last year of $1.3m.
While European sales fell 17 per cent, Nu Horizons sees positives in a 100 per cent increase in design wins sequentially and a book to bill ratio of 1.09:1 in the second quarter.
According to the company new design initiatives targeting medical, industrial, automotive and security applications have converted into stable revenue streams.
Comments