Cognex Reports Dismal First Quarter

A drastic drop in sales contributes to a Q1 loss, but a new partnership and forthcoming product introductions should help buoy the machine vision company, officials said.


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Posted on May 05, 2009

Machine vision vendor Cognex Corp. reported a cloud-covered first quarter on Monday, revealing a 30% year-over-year drop in revenue and a bottom line marked by red ink.

For its fiscal first quarter, ended April 5, 2009, Cognex reported a net loss of $3.4 million on revenue of $42.2 million. In comparison, last year’s first quarter saw net income of $8.5 million on sales of $60.5 million.

Although currency exchange rates and a restructuring charge ate away at revenue, the main cause of the slump was a spending freeze in manufacturing, officials said. In factory automation, the largest market Cognex serves, revenue in all four primary geographic regions (Americas, Europe, Japan, and Asia) declined year-over-year, the company said.

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