Sevcon (SEV) swung to a net loss for the quarter ended Dec. 31, 2016. The company has made a net loss of $2.43 million in the quarter, against a net profit of $0.12 million in the last year period.    

Revenue during the quarter surged 37.61 percent to $12.54 million from $9.12 million in the previous year period. Gross margin for the quarter contracted 2321 basis points over the previous year period to 21.95 percent. Operating margin for the quarter stood at negative 19.29 percent as compared to a positive 1.97 percent for the previous year period.

Operating loss for the quarter was $2.42 million, compared with an operating income of $0.18 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at negative $2.39 million compared with $0.59 million in the prior year period. At the same time, adjusted EBITDA margin stood at negative 19.04 percent for the quarter compared to 6.52 percent in the last year period.  

"First-quarter revenues increased 38% year over year, reflecting the $5.2 million contribution from our Bassi acquisition, partially offset by lower sales from the industrial side of the business due to a continuation of the challenging macroeconomic headwinds our customers are facing," said Sevcon chief executive officer Matt Boyle. "Bassi has performed above our expectations, having reported 33% revenue growth post acquisition compared with the same three-month period in the prior year, and we expect that momentum to continue in the second quarter."