TORONTO – For the third quarter ended September 30, 2007, revenues at telecom and cable services and equipment provider Cygnal Technologies decreased by $5.2 million to $26.4 million from $31.6 million for the same period a year ago.
This was comprised of a decrease in revenue at the company’s communications services business segment (otherwise known as White Radio) of $4 million, and a decrease in the revenue at the company’s network services business segment of $1.2 million. The decrease in communications services was impacted by limited cash flow, leading to constraints on product availability, combined with the loss of certain product lines. The decrease in revenue at network services was caused by a decrease in volume of large enterprise voice solution projects, reads the company’s press release, which also detailed its Companies, Creditors Arrangement Act (CCAA) bankruptcy protection, which Cartt.ca first reported on here.
For the nine months ended September 30, 2007, Cygnal revenues decreased by $8.8 million to $82.9 million from $91.7 million for the same period in 2006. This was comprised of a decrease in revenue at communications services of $5.3 million, and a decrease in the revenue of network services of $3.5 million. The decrease in communications services was impacted by limited cash flow, leading to constraints on product availability, combined with the loss of certain product lines. The decrease in revenue at network services was caused by a decrease in volume of large enterprise voice solution projects, and a decline in revenues in infrastructure projects due to the completion of the Niagara Region Broadband Network in the first quarter of 2006, continues the release.
