SeaChange posts 23% revenue loss but narrows profitability gap
Ed Terino, the SeaChange CEO since April 2016.
Acton technology company SeaChange International saw its revenue decline by 23 percent in the first quarter and stayed in the red, even as it sharply narrowed its losses.
The net loss for the quarter was $5.4 million, down from a $8.9 million loss the year prior.
SeaChange, which reported its earnings Tuesday, has attempted a turnaround reliant in part on cost reductions, including laying off 200 workers within the past year. It has projected those savings will ultimately total around $30 million.
In the first quarter, which ended April 30, SeaChange reduced expenses by 18 percent compared to the prior year, from $18.7 million to $15.3 million.
Losses for the quarter totaled 15 cents per share.
CEO Ed Terino has attributed the company's rough patch to what he called a tremendous amount of turmoil in the industry. In the fourth quarter of last year, losses totaled $24 million. The company has said it hopes to return to profitability within the fiscal year, which ends next Jan. 31.
SeaChange said in Tuesday's earnings report it plans for higher second-quarter revenue, in the range of $17 to $20 million, but with continued bottom-line losses.
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