IMRIS, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2014. For the quarter, sales were $6,924,000 against $17,765,000 a year ago. Adjusted LBITDA was $4,681,000 against $2,535,000 a year ago. The decrease in Adjusted EBITDA was primarily due to lower gross
profit, partially offset by lower operating expenses. Operating loss was $5,748,000 against $3,990,000 a year ago. Operating loss increased primarily due to lower gross profit of $4.4 million, partially offset by lower operating expenses of $2.6 million primarily tied to transition related activities in 2013. Net loss was $8,392,000 or $0.16 per basic and diluted share against $3,804,000 or $0.07 per basic and diluted share a year ago. The increase in net loss is due to the operating loss increase of $1.8 million, foreign exchange expense increase of $1.7 million, higher interest expense of $0.9 million, and loss on asset disposals of $0.2 million.

For the nine months, sales was $19,333,000 against $36,057,000 a year ago. Adjusted LBITDA was $15,273,000 against $15,167,000 a year ago. The decrease in Adjusted EBITDA was primarily due to lower gross profit, partially offset by lower operating expenses. Operating loss was $18,649,000 against $19,471,000 a year ago. Net loss was $23,320,000 or $0.45 per basic and diluted share against $20,385,000 or $0.41 per basic and diluted share a year ago. The cash used in operating activities was $9.1 million. The increase in net loss was primarily due to higher interest expense of $3.0 million, foreign exchange expense increase of $0.7 million, and loss on asset disposals of $0.2 million. This was partially offset by the operating loss decrease of $0.8 million, and tax benefit of $0.2 million.

The company reiterated its revenue guidance for the 2014 of between $30 million and $34 million. The company anticipates a gross profit margin of approximately 35% to 36%. Total capital expenditures are anticipated to be approximately $2.5 million. The company expects total cash and non-cash operating expenses in 2014 to be approximately $33 million. The company expects amortization and depreciation to be $4.0 million.

For the year 2015, the company expects revenue to be between $60 million to $65 million.