Cambex reports fiscal 1995 results.WALTHAM Waltham (wôl`thăm, –thəm), city (1990 pop. 57,878), Middlesex co., E Mass., a suburb of Boston, on the Charles River; settled c.1634, set off from Watertown 1738, inc. as a city 1884. , Mass.--(BUSINESS WIRE)--Nov. 20, 1995--Cambex Corp. today reported revenues of $35,152,000 and a net loss of $9,899,000, equal to $1.14 per share, for the fiscal year ended Aug. 31, 1995. This compares to revenues of $40,549,000 and net income of $590,000, or $0.07 per share, for the fiscal year ended Aug. 31, 1994. The company's revenues and bottom line were negatively impacted in the fourth quarter by the decreasing demand and the rapidly declining prices in the ES/9000 mainframe memory market. As a result, the company has decided to de-emphasize de-em·pha·size tr.v. de-em·pha·sized, de-em·pha·siz·ing, de-em·pha·siz·es To decrease the emphasis on; minimize the importance of. de-em marketing its memories for all but the largest of IBM mainframe IBM mainframes, though perceived as synonymous with mainframe computers in general due to their marketshare, are now technically and specifically IBM's line of business computers that can all trace their design evolution to the IBM System/360. computers and to write down its ES/9000 models H0 and H2 inventories and reduce the value of its IBM (International Business Machines Corporation, Armonk, NY, www.ibm.com) The world's largest computer company. IBM's product lines include the S/390 mainframes (zSeries), AS/400 midrange business systems (iSeries), RS/6000 workstations and servers (pSeries), Intel-based servers (xSeries) trade-in inventory to a present value of under $1 million. These amounts have been recorded during the fourth quarter of fiscal 1995 and are reflected in the financial results for the year. In conjunction with the above actions, the company has also streamlined its operation by eliminating certain administrative functions and consolidating its manufacturing and test operations through a work force reduction of approximately 15 percent. "During fiscal 1996 and beyond, Cambex will concentrate on the rapidly growing market for disk storage arrays with its Cascade A connected series of devices or images. It often implies that the second and subsequent device takes over after the previous one is used up. For example, cascading tapes in a dual-tape backup system means the second tape is written after the first one is full. (tm) and Centurion(tm) product families for the mainframe and client/server markets. The company will, however, continue marketing memories for the IBM ES/9000 model H5 computers where prices still permit profitable sales," Joseph F. Kruy, Cambex's chairman and chief executive officer, stated. The company's Centurion Disk Array is a flexible RAID disk storage system designed to meet a wide variety of capacity, performance and high availability Also called "RAS" (reliability, availability, serviceability) or "fault resilient," it refers to a multiprocessing system that can quickly recover from a failure. There may be a minute or two of downtime while one system switches over to another, but processing will continue. requirements for client/server computers. The company has been delivering the Centurion for the past year and the demand continues to increase. The company's Cascade Array DASD (Direct Access Storage Device) Pronounced "daz-dee." A peripheral device that is directly addressable, such as a disk or drum. The term is used in the mainframe world. DASD - Direct-Access Storage Device has proven to be a technological success and redefines value, performance and reliability for the cost-conscious users of IBM mainframe computers. The company began delivering the Cascade array for evaluation during the latter half of fiscal 1995, with excellent customer acceptance. The original beta tests A test of new or revised hardware or software that is performed by users at their facilities under normal operating conditions. Beta testing follows alpha testing. Vendors of packaged software often offer their customers the opportunity of beta testing new releases or versions, and the took longer than anticipated and as a result, revenue shipments were delayed until fiscal 1996. Cambex will introduce a new model of its Cascade disk array family in December 1995, which will be aimed at the mainframe/client/server multi-platform market. "We expect that during fiscal 1996 Cambex's disk storage sales will exceed the reduction in revenue from the discontinued dis·con·tin·ue v. dis·con·tin·ued, dis·con·tin·u·ing, dis·con·tin·ues v.tr. 1. To stop doing or providing (something); end or abandon: memory lines. The company's goal is to be profitable in the third quarter and for the full fiscal year 1996," Kruy said. Cambex (Nasdaq: CBEX CBEX China Beijing Equity Exchange ) is a leading supplier of direct access storage products used with IBM mainframe and client/server computers. The company's products include memory, disk, RAID disk arrays, and tape storage systems employed by users in their highest performance IBM computing computing - computer environments.
CAMBEX CORP.
FISCAL 1995 FINANCIAL RESULTS
For the fiscal year
ended Aug. 31,
1995 1994
Revenues $35,152,000 $40,549,000 Cost of sales 23,415,000 21,087,000 Decline in value of IBM trade-in memory 4,647,000 --- Operating expenses 17,195,000 16,898,000 Other income (expense) (1,573,000) (1,532,000) Income (loss) before income taxes $(11,678,000) $1,032,000 Provision (credit) for income taxes $(1,779,000) $442,000 Net income (loss) $(9,899,000) $590,000 Net income (loss) per common share $(1.14) $0.07 Weighted average shares outstanding 8,700,000 8,550,000 CONTACT: Cambex Corp., Waltham Sheldon M. Schenkler, 617/890-6000, ext. 241 |
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