As second quarter earnings season hits full swing, Electronic Sensor Technology (EST) (OTCBB: ESNR) has come to join the party by releasing its own results. EST results show the company is on the right track, but still has things to improve on in order to grow.
Revenues in the second quarter were near $700,000, which is up 11 percent year over year for the quarter. Although the company improved moderately over the past year for the second quarter, revenues were up 44.7 percent from the first quarter of this year.
Even with the poor results the company experienced in the first quarter, second-quarter revenues provided small growth for the six-month start of 2007. The company improved revenues 1.2 percent year over year for the first six months, but even with the positive revenue results they are still producing losses.
President and CEO, Barry S. Howe, stated earlier in a release, “While we have a long way to go, we made considerable progress in the past quarter.”
Losses from operations and total costs and expenses improved moderately, which is a good sign, and shows the company’s business plan is on the right track. The only thing hurting the company is that derivative income and interest expense. The company was on pace to make headway in its loss per share totals, but these set-backs did likewise for the company.
Although the company has been in the red for sometime, the company is making several new attempts to grow and become profitable by expanding internationally.
“Business continues strong in China and we received multiple orders from an international consumer products company. We have added sales representatives covering the Midwest, Southeast, California and Pacific Northwest to join our existing representatives in the Northeast. We have also appointed a distributor to cover Europe,” Howe added.
EST specializes in developing products positioned to eliminate key vulnerabilities in the homeland security market, namely commercial building heating, ventilating, and air conditioning (HVAC) security. It also deals with maritime port security, airport security, and border security.
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