The New York-based parent of AAI Corp. reported a sharp drop in third-quarter profits, primarily because of a federal income tax adjustment amounting to $2.7 million.
Net income for the three months amounted to $733,000, or 6 cents a share. This is down from $2 million, or 17 cents a share, in the year-ago period. Without the adjustment for taxes, the company said that net income would have been $3.4 million, or 28 cents a share.
For the first nine months of the year, net income was $5.9 million, or 49 cents a share, down from $9.6 million, or 76 cents, last year. Without the tax adjustment, net income would have been $8.6 million, or 71 cents a share.