Candela sees $500,000-$1 million Q4 loss
WAYLAND, Mass., July 29 (Reuter) - Candela Corp said Tuesday it expected to post a $500,000 to $1 million loss in the fourth quarter ended June 28 because of higher-than-anticipated start-up costs of its new skin care treatment centers.
The manufacturer of laser-based systems also said it expected to post a profit for the full fiscal year, as its core cosmetic and medical device businesses posted strong revenues in the fourth quarter.
Candela said it expected full-year revenues to grow about 15 percent from the $30.4 million in fiscal 1996, but to earn less profits than the $1.2 million, or $0.22 a share, it posted last year .
Chief executive Gerard Puorro said in a statement the company's LaserSpa skin care centers in Boston and Cairo, Egypt, should operate profitably by calendar year-end, with the Scottsdale, Ariz., center posting profits by June 1998.
``So far, we are experiencing somewhat typical growth pains with the skin care centers' operation, but demographic and technological trends convince us that -- as we continue to strengthen the operation and secure suitable financing -- our LaserSpa initiative is a good business idea that can become a very good business,'' Puorro said.
The company's stock closed at 5-63/64 Monday.
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thank God I didn't buy the warrants. |
