Salt Lake-based Zevex International Inc. on Wednesday reported an increase in net income but a drop in revenue for 2002.
Zevex said net income for the year ended Dec. 31, 2002, rose to $214,303, or 6 cents per share, compared to a net loss of $487,703, or 14 cents per share, for 2001. Revenue for 2002 declined about 14 percent to $25.5 million, compared to $29.9 million in 2001. The company blamed the decrease in revenue on fewer orders for contract-manufactured products, as well as weaker demand for physical evaluation products and disposable sets for stationary enteral nutrition delivery pumps.
Revenue for the fourth quarter of 2002 was $7.1 million, down from $8 million during the same quarter of 2001. Net income for 2002's quarter was $30,887, or 1 cent per share, compared to net income of $244,913, or 7 cents per share, in the fourth quarter of 2001.
"Despite challenging economic conditions during 2002, Zevex has returned to profitability, generated near-record cash flows and has significantly reduced its debt," said David McNally, company chairman and chief executive officer, in a prepared statement. "Remarkably, through the dedicated efforts of our employees, we increased gross margins, reduced general and administrative expenses, and continued to fund the research and development of new products-all during this period of lower sales."
Zevex designs and manufactures advanced medical components and systems for other medical technology companies; designs, manufactures and markets physical evaluation testing systems; and designs, manufactures and markets nutrition delivery devices.