Vuzix Reports Wider-Than-Expected Q3 Losses, Shares Plummet
Vuzix, the renowned smart-glasses manufacturer, experienced a significant blow as its shares plunged by 19% to $2.53 in premarket trading. The company disclosed a larger-than-anticipated loss for the third quarter.
Quarterly Performance
Vuzix's quarterly results revealed a loss of $11 million, equivalent to 17 cents per share. This marked a notable increase from last year's loss of $9.5 million, or 15 cents per share. Analysts surveyed by FactSet initially projected a loss of $9.7 million, or 16 cents per share.
Additionally, the company's sales for the quarter amounted to $2.2 million, which paled in comparison to the $3.4 million recorded during the same period last year. Furthermore, it fell far short of analysts' expectations of $4.7 million in sales.
Factors Impacting Sales
Vuzix attributed the decline in third-quarter sales to delays in customer orders and reduced sales of its M400 smart glasses. Although unfortunate, these setbacks did not dampen the company's positive outlook for the future.
Optimistic Outlook
In spite of the challenging quarter, Vuzix remains optimistic about its prospects for the remainder of 2023 and throughout 2024. The company is actively implementing changes that are anticipated to reduce operating costs by up to 20%.
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