SALT LAKE CITY, Nov. 14, 2011 /PRNewswire/ -- Dynatronics Corporation (NASDAQ: DYNT) today announced results for its fiscal first quarter ended September 30, 2011.
Sales for the quarter ended September 30, 2011, increased one percent to $7,996,802, compared to $7,919,288 for the quarter ended September 30, 2010. Net loss for the quarter ended September 30, 2011, was $68,259 ($.01 per common share), compared to net income of $17,012 ($.00 per common share) for the same quarter in the prior fiscal year.
"Significant investment in R&D, combined with higher selling expenses associated with developing the Group Purchasing Organization (GPO) business, diminished our bottom-line results for the quarter," stated Kelvyn H. Cullimore Jr., chairman and president of Dynatronics. "Investing in the future through development of new products and cultivation of new sales opportunities like the GPOs can have a short-term negative impact on profitability, as it has this quarter, but is essential to the long-term financial health of the company."
"We expect to introduce new products in the spring of 2012 at which point R&D expenditures are expected to return to more traditional levels. In addition, we expect to see greater progress with GPO's and national accounts in the coming quarters that will help justify the investment currently being made to cultivate that business," continued Cullimore.
In 2011, Dynatronics announced the signing of contracts with four GPOs: Premier, Inc., Amerinet, Inc., FirstChoice Cooperative and Champs Group Purchasing. These contracts became effective in March and June 2011.
"Developing business through these GPO contracts and seeking additional contracts with other GPOs and national accounts will continue to be a major focus for us for the next several years," stated Larry K. Beardall, executive vice president of sales an
|SOURCE Dynatronics Corporation|
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