Computer Automation Inc.’s earnings rose 117% for...
Computer Automation Inc.’s earnings rose 117% for the second quarter, despite a 13% decline in revenue.
The Irvine electronics company earned $598,000 for the quarter ended Dec. 31, up from $275,000 in the year-earlier period.
Most of Computer Automation’s earnings improvement resulted from $485,000 in royalty payments by International Business Machines Corp. during the second quarter.
The Irvine firm said the amount resulted from a recalculation of royalties due from IBM during a 12-month period ended on June 30, 1988. IBM has licensed computer memory technology from Computer Automation for use in some of IBM’s personal computer models.
Revenue declined to $5.1 million, down from $5.8 million a year ago.
For the 6-month period, Computer Automation’s earnings were flat at $700,000, down from $701,000 a year earlier. Revenue dipped 8% to $10.5 million, from $11.4 million.