(By Balaseshan) Perceptron Inc. (NASDAQ:PRCP) said it has sold certain assets and liabilities of its Commercial Products Business Unit to Inspectron Inc. for about $838,000 in cash.
In addition, Perceptron retained Commercial Products Business Unit's (CBU) accounts receivable balance of about $608,000 that existed at the time of sale. Inspectron acquired the inventory, tooling, customer contracts, patents, trademarks, and other assets associated with CBU's business operations.
Under the agreement, Inspectron also assumed all of CBU's service parts and warranty obligations and vendor commitments. Inspectron's President is Richard Price, former Perceptron Senior Vice President of the Commercial Products Business Unit.
CBU, one of Perceptron's two reporting segments, designs and markets products for sale to professional tradespeople in the electrical, mechanics, plumbing, and construction markets. In fiscal 2012, CBU accounted for about 9% of Perceptron's total sales.
Looking forward, Perceptron will concentrate on its Industrial Business Unit, which accounted for all of Perceptron's growth and profits, and over 90% of sales in fiscal 2012. The company would be releasing its fiscal 2012 earnings results on September 4.
The company will provide additional information about the sale of CBU during the earnings call on September 5. CBU's financial results will be reported as discontinued operations in fiscal 2012, and prior years' results will be presented on a consistent basis.
PRCP is trading 5.88% higher at $5.40 on Friday. The stock has been trading between $4.26 and $6.59 for the past 52 weeks.