SAN JOSE -- IMP Inc. here today posted a $6,000 net profit on revenues of $6.8 million in the company's fiscal second quarter, ended Sept. 30. The analog chip maker's revenues fell 15% from $8.0 million in the same quarter last year.
"We are encouraged by the results," said Subbarao Pinamaneni, CEO, president and chairman of the San Jose company. "We have and are continuing our efforts to reduce costs."
The chief executive said IMP has reduced its headcount to 99 workers compared to 220 six months ago. "We continue to negotiate with our vendors to reduce cost in an effort to remain profitable despite lower revenues," he said. "In order to keep our costs in line with revenue, the company is focusing on high margin businesses. We are monitoring expenses closely with the intention to continue to stay profitable at lower revenues."
As previously announced, a group of investors led by management has purchased approximately 72% of the outstanding shares of IMP for a total of $6.0 million (see May 15 story).
The company's net profit of $6,000 in the just-ended quarter compared to a net loss of $2.6 million in the same period last year. The company said the fiscal second quarter results are the second consecutive profitable quarter for IMP. Excluding one-time charges and items, IMP's profit would have been $418,000, according to the company.