ST. PAUL, Minn.--Micro Component Technology Inc. today reported a 20.6% sequential drop in net sales to $7.4 million in the second quarter from revenues in Q1, and a net loss of $2.5 million in the period ended June 30.
The sharp drop in revenues was a result of "the deepening downturn in the semiconductor equipment industry," said Roger E. Gower, president, chairman and CEO of MCT. "However, the benefit of the aggressive cost reduction actions we initiated early in the year provided some relief in our operating results, with quarterly overhead and operating expense levels down by approximately $3 million from fourth quarter 2000 levels," he added.
"Given the protracted downturn in our industry, and with no clear indication of when an increase in capital equipment purchasing by our customers will occur, we are continuing to aggressively manage working capital and expense requirements and cash levels," Gower said. The chief executive said the supplier of chip-test handling and automation systems is now reviewing its operations and expects to complete the process by the end of the third quarter.
He said "in the absence of significant improvement in market conditions, this process to result in related charges in that quarter."