Digital Power Reports Financial Results For Second Quarter 2009
Digital Power Corp. announced its financial results for the second quarter ended June 30, 2009. The company reported revenues of $4,516,000 for the six months ended June 30, 2009, a 31% decrease from revenues of $6,516,000 for the six months ended June 30, 2008. Net profit for the six months ended June 30, 2009, was $51,000, compared to a net profit of $54,000 for the same period in 2008.
Digital Power reported revenues of $2,095,000 for the second quarter of 2009, down by 37% from $3,347,000 for the same quarter last year. The company also reported an operating loss of $19,000 for the second quarter of 2009, compared to an operating profit of $206,000 for the same quarter last year. Digital Power reported a net loss of $118,000 for the second quarter of 2009, compared to a net profit of $215,000 for the same quarter last year.
Commenting on the results, Amos Kohn, President and CEO, stated, "Given the global recession and its negative impact on virtually all of our customers, the disappointing results in our second quarter were anticipated. In the second quarter of 2009, the company’s net loss was primarily due to financial expenses incurred in connection with the devaluation of the US Dollar against the UK Pound, the operating currency of our foreign subsidiary. The actual operating loss was somewhat mitigated by the proactive cost reduction efforts taken early in the quarter; nevertheless, we did, and will continue to, invest in new product development initiatives. As recently announced, these efforts have resulted in winning several new development contracts for full custom, advanced, high-grade, high efficiency power solutions. We are optimistic that these contracts, in turn, will result in multi-year production programs with our key accounts.
"Our new designs are full custom solutions for industry leaders in a broadly diversified range of markets, and we believe that they will have a near term demand."