Microvision, a Redmond-based laser technology company, plans to trim its workforce by 20 percent following a weaker-than-expected fourth-quarter earnings forecast. The company’s stockprice fell by 20 percent following news of the report and cutbacks.
The company forecast a fourth-quarter loss of between $15.3 and $15.8 million. The company expects to see revenues of $683,000, down from $971,000 last fiscal year. Previously, analysts had predicted $2.7 million in revenue for the company.
Lower product pricing and changes to inventory were the causes of the poor quarterly results, according to the company. The job cuts will help the company reduce operating expenses. Microvision currently employs 161 people.
Microvision was profiled in the November 2010 issue of the Seattle Business magazine as one of Washington’s top innovators. The company boasts an impressive array of laser technology, including the ShowWX, which allows users to display media content from 100 inches away onto any surface. The device weighs just four ounces and runs for 120 minutes per charge.
In December 2010, the Microvision's stock price gained considerable ground after one analyst suggested Microvision technology would make a good addition to the next generation iPhone.