Online service hurts Lumisys Q4 revenues

Costs related to the launch of its new Internet-related business led to lower 1999 revenues for film digitizer and computed radiography vendor Lumisys. The Sunnyvale, CA-based company saw its revenues decline approximately 17% to $4.3 million in the fourth quarter (end-December), compared to revenues of $5.2 million for the same quarter of 1998. Net loss for the quarter was $460,000, compared to net income of $151,000 for the fourth quarter a year ago; losses were related primarily to the development to the company’s new Internet portal business, AuntMinnie.com. Lumisys anticipates recording its first revenues from AuntMinnie.com in the first quarter of this year but also expects to record $970,000 in expenses during the quarter, which will affect overall operational results.

Revenues for 1999 were on a par with 1998: $19 million for 1999 and $19 million for 1998, while net loss for the year was $131,000, compared to net income of $894,000 for 1998. Including discontinued operations, Lumisys’ 1999 net loss was $4.3 million, stemming from charges related to the sale of the company’s Imagraph subsidiary.