Angeion Corp. (NSDQ:ANGN) put some black ink in the ledger book during the third quarter, as a 14 percent sales increase pushed it to profitability.
The St. Paul, Minn.-based cardiorespiratory diagnostic equipment maker posted net income of $126,000, or 3 cents per diluted share, on sales of $7.1 million during the three months ended July 31. That compares with a net loss of $173,000, or 4 cents per diluted share, on sales of $6.2 million during the same period last year.
The company chalked up the boost to improved gross margins, which rose by $727,000, or 21.5 percent, despite a $245,000 payout to outgoing CFO William Kullback. Angeion fired Kullback in July for undisclosed reasons. Citing more efficient manufacturing operations, higher sales volume and "right-sizing activities" for the margin improvement, the company said the increase more than offset higher operating expenses.
President and CEO Rodney Young also gave kudos to " pent-up demand" and "a slight loosening of hospital capital budgets" for contributing to the strong quarter.
ANGN shares fell 0.73 percent to $4.10 in after-hours trading.