Ford cost overruns scuttle Bsquare Q4 results
Citing cost overruns on a project it doing for Ford, software company Bsquare Corp. reported a fourth-quarter loss of $3 million, or a loss of 30 cents a share, compared with a loss of $370,000, or a loss of 4 cents per share a year earlier. The Bellevue company (NASDAQ: BSQR) reported that the latest quarterly loss was due mainly to cost overruns on a project it doing with the Ford Motor Corp. (NYSE: F) Our team underestimated the effort required to integrate all of the software from the multiple sources involved on the program, which had the effect of significantly increasing our overall estimate to complete the program.
This significantly reduced the amount of revenue we recognized on the Ford project this quarter said Brian Crowley, CEO, in a statement. Crowley added that Bsquare is talking with Ford about additional money for the overruns. [Read the full article]