Advanced Logic Research Posts 4th-Quarter Loss

IRVINE —  Hurt by recession and an unrelenting price war in the personal computer industry, Advanced Logic Research Inc. reported Thursday that it lost money in the fourth quarter and barely eked out a profit for the fiscal year that ended Sept. 30.

ALR said its annual earnings came to $500,000, or 5 cents a share, contrasted with a profit of $14.7 million, or $1.40 a share, for the previous year. Annual revenue fell 9% to $207 million from $228 million.

The company also reported a loss of $2.5 million, or 22 cents a share, for its fourth fiscal quarter. That contrasted with a profit of $4.3 million, or 37 cents a share, for the same period a year earlier. Revenue for the fourth quarter fell 26% to $48 million from $65 million.

ALR officials said in a statement that severance payments to laid-off employees accounted for about $1 million of the fourth-quarter loss. The company also cited other restructuring costs, higher royalty payments for certain product lines and additional inventory reserves. The rest of the loss was related to fierce price competition in the PC industry, the company said.

ALR laid off about 100 people during the fourth quarter as part of an effort to cut costs.