CAS Medical Systems Inc. returned to profitability in the first quarter as the Branford maker of medical monitors improved its sales margins and tightened spending.
CAS said it earned $200,000, or 2 cents a share, in the three months ended March 31, compared to a loss of $900,000, or 8 cents a share, the same period in 2009.
Revenues were flat at $8.5 million in the first quarter, up only $100,000 from a year ago.
Increased sales of its OEM and Fore-Sight line of monitors and sensors were offset by lower demand for its bedside monitoring products, the company said.
CAS hopes to build demand for its promising Fore-Sight line, which includes a device for monitoring oxygen levels in the brain without the need to insert tubes or lines into patients. CAS has clinical research under way to uncover more uses for its Fore-Sight line.
CEO Andrew Kersey said first-quarter results benefitted from rise in sales margins to 35 percent from 29 percent and job cuts enacted last year. Â
Rising cash flow has enabled CAS to build its cash reserves while cutting its bank debt by about $900,000, Kersey said. In addition, the company says it filed for a $900,000 income-tax refund stemming from the carry back of 2009 net operating losses.
