With its stock down to 32 cents a share at market-open today, Internet
computer products retailer Cyberian Outpost Inc. issued a
statement quoting the chairman as saying the company “has decided to explore
all available options at this time.”
Shortly after the opening bell the stock was down to 20 cents a share as the
Kent, Conn.-based company reported a fourth quarter pro forma loss of $9.5
million or 30 cents a share on higher revenues of $120.9 million. The results
actually beat the consensus of analysts, who were expecting a loss of 33
cents a share.
“Current market conditions have made it difficult to secure the required
equity and working capital financing we need, said Darryl Peck, chairman of
Outpost.com. “Therefore, we intend to meet with our creditors to discuss
payment options.”
The company also said it would take a number of unspecified cost reduction
actions.
Although Outpost has recorded steady increases in revenues since going public
in 1998, it has never had a profitable quarter.
For the fiscal year ended Feb. 28, 2001, Outpost reported net sales of $355.2
million, up 86.6 percent from the $190.3 million of net sales for the prior
fiscal year. Pro forma net loss excluding amortization of goodwill was $29.3
million and 97 cents per share.
Outpost said that “market conditions and the unpredictable economic
environment preclude the company from making meaningful estimates for fiscal
2002 at this time.”
