Sarine Sales Dip Amid 'Challenging' Market

RAPAPORT... Sarine Technologies saw a sharp decline in revenue duringthe second quarter, as an oversupply in the midstream led to lower sales of manufacturing equipment. Sales fell 35% year on year to $11.6 million for the threemonths ending June 30, the Israel-based company said last week. Revenue fromIndia -Sarine's largest market - dropped 32% to $8.2 million. Sales inAfrica plunged 63% to $964,000, while those in Israel were flat at$900,000. North America was Sarine's only growth center, with sales up 24% to$263,000. "During the [first half] of 2019, challenging conditions in the industry's midstream continued to affect our business," the company noted. "Our midstream customers continued to experience working-capital issues due to credit-tightening policies implemented by Indian banks, with an ongoing reduction of the already extended credit." Sarine reported a net loss of $1.4 million for the quarter,compared to a profit of $3.6 million for the same period the year before. However,the equipment manufacturer has signed two new customers in China, andthree in Taiwan, for its AI-based retail offering, Sarine Profile. It has two further Taiwaneseretailers in the process of finalizing an agreement to use that service, the company added. Image: A rough diamond. (Sarine Technologies)