Ballantyne Strong reports Q3 financial results

Ballantyne Strong, Inc. (NYSE American: BTN), a holding company with diverse business activities focused on serving the cinema, retail, financial and government markets, has reported financial results for the third quarter ended September 30, 2017, the company said.

Net revenues were USD 19.6 million in the third quarter of 2017, compared with USD 18.7 million in the same period of the prior year. Income from operations was USD 0.5 million in the third quarter of 2017, compared with USD 0.3 million in the same period of the prior year.

Net loss from continuing operations was (USD 1.0) million, or (USD 0.07) per share, in the third quarter of 2017 compared with (USD 0.5) million, or (USD 0.03) per share, in the same period of the prior year.

Cinema revenues were USD 8.7 million in the third quarter of 2017, compared with USD 11.1 million in the same period of the prior year. The decrease was driven by decreased sales of projectors, lamp products, and screen support systems, partially offset by slight increases in sales of screens and digital parts.

Digital Media revenues were USD 11.1 million in the third quarter of 2017, compared with USD 7.9 million in the same period of the prior year. This increase was driven by increased sales of digital signage equipment and installation services.

Consolidated gross profit was USD 5.3 million in the third quarter of 2017, compared with USD 4.4 million in the same quarter of the prior year. Gross margin was 27.2% in the third quarter of 2017, compared with 23.4% in the same quarter of the prior year, as Cinema screen sales, which carry a higher margin, comprised a greater percentage of the company´s revenues in the third quarter of 2017.

Selling and administrative expenses were USD 4.8 million in the third quarter of 2017, compared with USD 4.1 million in the same quarter of the prior year. The increase was primarily due to a USD 0.3 million increase in consulting and software licensing costs associated with our CRM and ERP systems implementation and USD 0.2 million in bad debt expense.

Ballantyne Strong and its subsidiaries engage in diverse business activities including the design, integration and installation of technology solutions for a broad range of applications; development and delivery of out-of-home messaging, advertising and communications; manufacturing of projection screens; and providing managed services including monitoring of networked equipment. The company focuses on serving the cinema, retail, financial and government markets.