The company’s revenues were also down, falling 8.6% to $US144.7m ($239.7m). EFI chief executive Guy Gecht blamed the fall on the global financial crisis, which he said had impacted inkjet customers’ ability to get finance.

He said: “In September the [economic] environment got worse and funding was almost impossible to obtain for many inkjet customers.

“The financial crisis not only impacted our revenues but the turmoil in the financial markets also impacted our profitability.”

Following earlier cost reductions in its Apps business, EFI has now revealed plans to pursue further cost cuts throughout the company in the face of the worsening economic climate.

Gecht said: “Cost has been a key area of focus and, given the new economic reality we are planning to cut costs further.”

In addition, EFI has signed an agreement to sell one of the two buildings at its Foster City headquarters, as well as 30 acres of unused land at the site, for $US137.5m ($AU227.8m).

Gecht said a large portion of the after tax proceeds from the sale would be used to fund a share buy back program, once the deal closes in January.

Read the original article at www.printweek.com.

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