ProPhotonix posts losses despite increased revenue

ProPhotonix Limited would have made money last quarter, or would have at least broken even if not for its debt and stock-based compensation to top executives.The Salem-based manufacturer of LED light engines and laser diode modules, formerly known as StockerYale, posted a net loss of $219,000, despite increasing revenue by 25 percent to $4.6 million over the same quarter last year. But the company, whose only operations are in England and Ireland and which trades on the London-based AIM stock exchange, would have made about a quarter of a million dollars were it not for a variety of factors, the major ones being $176,000 in interest payments, $89,000 in depreciation and $85,000 in stock-based compensation.Operationally, the company broke even.The net loss is less than half the loss of the second quarter of 2010, and brings the losses of the first half to $983,000, or two cents a share. The losses leave the company with only $568,000 in cash, down from $1.8 million at the beginning of the year. That’s a little more than $495,000 that the shareholders owe (the total stockholder’s deficit), up from $188,000. The financial statement was issued before the company raised $5.1 million on the AIM exchange in London, through the placement of common shares at 22 cents per share with institutional investors. In the United States, ProPhotonix is still traded on the pink sheets for 17 cents per share. –BOB SANDERS/NEW HAMPSHIRE BUSINESS REVIEW