Silence is golden. It can also be profitable.
Noise Cancellation Technologies Inc., the Stamford, Conn.-based electronics company that produces noise and vibration reduction equipment at a manufacturing plant in Linthicum, has reported its first profitable quarter since it was founded in 1986.
For the three months that ended March 31, NCTI posted a net income of $49,740. This compares to a deficit of $901,940 in the same period last year.
John J. McCloy II, NCTI's chairman and chief financial officer, said in a statement that the company's move into the black was part of its transformation from a research and development company into a "product- and marketing-oriented organization."
NCTI produces electronic equipment that can analyze and record a sound, such as the exhaust from an automobile engine. The equipmentthen generates sound waves that are the exact opposite of the wavelengths of the original sound. When the new sound waves are played on speakers aimed at the original sound, they cancel out noise.
In 1989, NCTI entered into a joint venture with Detroit-based Walker Manufacturing Co., to produce and market an electronic muffler.
NCTI also sold equipment to CSX Transportation Inc. that reduces the noise of vacuum pumps used to unload flour and sugar from rail cars.
In March, the firm entered into a joint venture with Foster Electric Co. Ltd., based in Tokyo, to produce headset-based noise-reduction systems. Foster is to pay a licensing fee of $1.7 million for manufacturing rights in the Far East. About $1 million of this fee helped boost NCTI's first-quarter revenues.
Three months ended 3/31/91
.....Revenue.... .... .... Net.... .... .... Share
'91 ....2,161,752...... .... 49,740 .... .... 0.00
'90 ......259,171...... .... (901,940).. .... (0.02)
% change... +734.1... .. .... .... .. --.. .... ... --