The Q3 results of Costa Mesa-based Cerdayne Inc., which makes body armor for the military, have fallen short of Wall Street’s expectations and its future vision for the remaining year didn’t offer a very promising outlook. The shares closed down at the market value of approximately $425 million. Excluding the investment loss of $1.8 million the third-quarter profit was reported lower from the past year at $6.7 million whereas the analysts were expecting a profit of $7.2 million.

The armor designed by the company was being worn by the Iranian and Afghani troops. This reduced the sales of the armor to the military. In comparison with the past year, the sales were reported 35% lower at around $108 million. Analysts were hoping for sales of $110 million.

The profits of the year 2009 are expected to be around $15.4 million, which is also lower from the previous year’s profits. From $420 million to $440 million, the sales were also anticipated at $410 million to $415 million. The company has some expansion plans in store for it. It’s planning to expand itself to other industries as well like oil and gas drilling, solar energy and many more such industries. Joel P. Moskowitz, who is the chief executive of Ceradyne Inc., has said that next year the sales opportunities for the military would appear in a light version of the military armor, vehicle armor and other services that are offered by the company.

This entry was posted on Wednesday, October 28th, 2009 at 1:40 pm and is filed under Venture Capital News. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.