Ceramic Industry News

American Defense Systems Reports 31% Decrease in Third Quarter

November 23, 2010
/ Print / Reprints /
/ Text Size+

American Defense Systems Inc. has reported financial results for the third quarter ended September 30. Revenues from continuing operations in the quarter decreased 31%, from $12.6 million to $8.7 million in the year-ago quarter. This decrease was primarily due to a slowdown in government orders. Revenue from the company’s physical security product business was $1.2 million in the third quarter 2010, consistent with revenues in the year-ago period.

Revenues from continuing operations for the first nine months in 2010 declined 1.7% to $35.6 million, from $36.2 million in the year-ago period. For the nine months, revenues from the company’s physical security product business increased 152% to $8.3 million (23% of revenues), from $3.3 million (9% of revenues) in the comparable period in 2009.

Gross profit margin in the third quarter of 2010 was 46.7%, an improvement from 20.9% in the same quarter of 2009. The increase resulted primarily from contract billings of $3.3 million that were under audit by the government as of June 30 and recognized as revenue upon approval during the third quarter of 2010. The total contract was for $6.2 million, of which $2.9 million of revenue and related cost of sales was recorded in the second quarter of 2010. The gross profit margin was 31.9% and 33.3% for the first nine months of 2010 and 2009, respectively.

The net loss in the third quarter totaled $395,000, an improvement from a net loss of $3.6 million per share in the same period of 2009. The net loss in the first nine months of 2010 totaled $4.9 million, an improvement from a net loss of $7.9 million in the year-ago period.

“Revenues in the third quarter of 2010 came in slightly above our expectations, with a strong gross margin largely due to the timing of the recognition of revenue, as well as a slowdown in crew protection kit orders resulting in decreased costs in the quarter,” said Anthony J. Piscitelli, chairman and CEO. “We see this slowdown continuing into the fourth quarter, which is also typically our slowest, and have adjusted our expectations for the amount of our $31 million backlog we expect to ship before year’s end.”

For more information, visit www.adsiarmor.com.

Did you enjoy this article? Click here to subscribe to Ceramic Industry Magazine.

You must login or register in order to post a comment.



Image Galleries

September 2014 Issue Highlights

Our September 2014 issue is now available!

Posted: December 15, 2014


Manufacturing Day 2014

Manufacturing Day organizers share their insights with Managing Editor Kelsey Seidler.

More Podcasts

Ceramic Industry Magazine

CI January 2015 cover

2015 January

It's our annual Materials Handbook issue, with the ever-popular "Raw & Manufactured Materials Overview" article! Check it out today.

Table Of Contents Subscribe

Personal Smartphones

Do you use your personal smartphone or other device to complete tasks for your job?
View Results Poll Archive


M:\General Shared\__AEC Store Katie Z\AEC Store\Images\Ceramics Industry\handbook of advanced ceramics.gif
Handbook of Advanced Ceramics Machining

Ceramics, with their unique properties and diverse applications, hold the potential to revolutionize many industries, including automotive and semiconductors.

More Products

Clear Seas Research

Clear Seas ResearchWith access to over one million professionals and more than 60 industry-specific publications,Clear Seas Research offers relevant insights from those who know your industry best. Let us customize a market research solution that exceeds your marketing goals.


facebook_40px twitter_40px  youtube_40pxlinkedin_40google+ icon 40px


CI Data Book July 2012

Ceramic Industry's Directories including Components, Equipment Digest, Services, Data Book & Buyers Guide, Materials Handbook and much more!