CVD Equipment Corporation, a provider of chemical vapour deposition systems and materials has announced financial results for the quarter and the year ended 31st December (2018).
CVD annual revenue was $24.3m in 2018 compared to $41.1m in 2017, a decrease of $16.8m.
Fourth quarter (Q4) revenue was $4.7m in 2018 compared to $9.8m in 2017, a decrease of $5.1m.
Net loss for the year totalled $5.2m, compared to a net profit of $5.3m in the prior year. Q4 2018 net loss was $1.9m compared to net income of $1.6m in the previous year.
The company has received new orders in excess of $6m in Q1 of 2019. As a result of the time required to complete these orders, CVD anticipates revenue in the first two quarters of 2019 may approximate the revenue in the last two quarters of 2018.
“2018 was a transitional year for CVD. After completing a large contract with a major customer, the company has accelerated its focus on the materials business. During 2018, the company invested $2.5m in building improvements and machinery related to CVD Materials and incurred additional expenses in connection with our recently acquired facility in Central Islip, New York,” said Leonard Rosenbaum, President and CEO of CVD.
“We anticipate operations at the new facility will commence at the end of the second quarter or during the third quarter of 2019. During 2019, we will continue to invest in further building improvements and machinery to accelerate and diversify our business into the materials market.”
“With the building and machinery component nearing completion, this will allow us to enhance our marketing efforts by showcasing our operations with new and existing customers.”
“The expanded materials operations this year will enhance our capabilities in providing i) corrosion resistant coatings through our Tantaline® subsidiary for medical, pharma, oil and gas applications, ii) sensors through our MescoScribe™ subsidiary for aerospace and turbine applications, and iii) through our CVD Materials subsidiary for carbon composite materials for medical applications, substrate materials for the electronics industry and further expansions into other coasting for aerospace, medical, and industrial applications,” Rosebaum concluded.