Presstek has announced that it has settled a 2007 investigation with the Securities Exchange Commission regarding the company’s financials from that period. Presstek has agreed to pay a civil penalty of US$400,000, a sum which had been allotted in the company’s third quarter of last year.
“This investigation related to matters that occurred prior to the changes in executive leadership which took place in 2007,” said Jeff Jacobson, Presstek’s Chairman, President and Chief Executive Officer. “We feel very strongly about corporate governance and we are pleased to put this legacy issue behind us.”
Presstek also posted its Q4 results, which saw the company post a loss of US$700,000. The loss is in improvement over its 2008 Q4 numbers, which resulted in a loss of $900,000. Revenues, however, saw a sharp drop over the fourth quarter of 2008, plunging 21 percent from $42.3 million to $33.5 million. Equipment revenue faced the steepest decline of 40 percent. The company managed to cut expenses year-over-year by $5 million, or 29 percent.
“These results represent our first sequential quarterly increase in revenue since the second quarter of 2008; a return to positive adjusted EBITDA after two negative quarters; and a strengthening of our overall financial position as we were able to significantly reduce our debt net of cash in the quarter,” said Jacobson. “These positive financial results combined with the recent sale of Lasertel, the closing on our new credit facility, the completion of the SEC review and the successful result achieved with the International Trade Commission in the VIM patent litigation give us a great deal of momentum as we move forward.”
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