The company has been selling off parts of the systems business and undertaking restructuring amid deep quarterly losses. It has stated focusing on the other business, optical systems, will allow the business to move forward.
In April, Enablence reported the systems business ate up half of the company's cash reserves in just four months.
In a statement late Thursday, chief executive Tim Thorstenison placed part of the blame for ongoing losses on a "market slowdown", adding the company is anticipating higher revenues through introducing a new chip, starting up its previously announced joint venture – Sunsea Telecommunications Co. Ltd. – in China, and adding datacom and packaged photodiodes to its offerings.
"Our challenge continues to be the divestiture of the remaining systems business while preserving as much cash as possible to fund our growth initiatives," he said.
The company has warned analysts not to make comparisons year-over-year as its fiscal year changed in 2010.
Enablence posted $5.4 million in revenues and a net loss of $41 million in the quarter ending June 30, 2011.
"When we have completed the divestiture, our ability to focus on our optical components business will, we believe, provide the most shareholder value," Mr. Thorsteinson added.
Enablence, which has a presence in Ottawa, announced in August it would sell its Trident7 universal access platform for $5.1 million to Aurora Networks Inc.
The company divested another product, Magnm, to FX Support for $0.2 million.
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