Procom Technology Reports Fourth Quarter and Year-End Results

Procom Technology, Inc., a developer of storage technology and provider of networked storage solutions, today reported that revenue for the fourth quarter ended July 31, 2001, was $8.9 million, compared to third quarter revenue of $8.0 million.

The company said overall sales climbed 11 percent from total sales for the quarter ended April 30, 2001. Sales of network attached storage (NAS) products increased 9 percent from $5.8 million in the three-month period ended April 30, 2001, to $6.3 million this quarter.

The Company’s NAS sales for fiscal 2001 totaled $28.4 million, a 63 percent increase over the $17.4 million total for fiscal year 2000. NAS sales during the fourth quarter accounted for 70 percent of revenue, with the remaining 30 percent generated from sales of other Procom products. For the comparable quarterly period last year, NAS sales accounted for 49 percent of total revenue.

Procom President and Chief Executive, Alex Razmjoo, reported, “In this quarter we made significant strides in operating efficiencies. Additionally, we took steps during the fourth quarter to strengthen our balance sheet, including taking additional reserves for accounts receivable and taking certain inventory write-downs. We believe these measures will help position us to complete our transition to a pure play NAS business and are prudent given current economic conditions.”