<< Back

Comtech Telecommunications Corp. Announces First Quarter Results For Fiscal 1999

December 8, 1998 at 12:00 AM EST
Comtech Telecommunications Corp. Announces First Quarter Results For Fiscal 1999

Melville, New York - December 8, 1998 - Comtech Telecommunications Corp. (Nasdaq: CMTL) today reported that for the first quarter ended October 31, 1998, the Company had a net profit of $394,000, or $.15 per share, on sales of $8,735,000. For the same quarter of last year, the Company had a net profit of $104,000, or $.04 per share, on sales of $5,934,000.

Fred Kornberg, President, commented, "we are pleased to report that the net sales for the first quarter increased by more than 47% and net income increased by more than 278% over last year's first quarter. The Company's increased sales and income, reflecting the benefits flowing from Comtech's continuing transition to a product oriented business, were primarily driven by our Comtech PST and Comtech Systems, Inc. operating units partially offset by results of our Comtech Communications Corp. operating unit which continues to experience lower sales from the Pacific Rim area. However, we are continuing to make progress in the execution of our business plan".

The Company previously reported a $42.5 million order received in the first quarter of 1999, calling for shipments of digital over-the-horizon microwave radio terminals during a 30-month period. Apart from that order (of which only $70,000 was shipped during the first quarter), backlog at October 31, 1998 was $10,651,000 compared to $14,873,000 a year earlier and $15,452,000 at July 31, 1998.

Comtech is a broad based manufacturer of state-of-the-art solid state high power amplifiers and high technology satellite and troposcatter telecommunication products and systems for commercial and government applications.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)

 

Three Months Ended
October 31

1998

 

1997

Net Sales

$

8,735,000

 

$

5,934,000

 

 

 

 

Operating income

$

470,000

$

198,000

Other income (expense) - net

(31,000)

(69,000)

 

 

 

 

 

Income before provision for income taxes

439,000

129,000

Provision for income taxes

 

45,000

 

25,000

 

Net income

$

394,000

$

104,000

 

Net income per share

Basic

$

.15

$

.04

Diluted

$

.14

$

.04

Weighted average number of common and common equivalent shares outstanding

Basic

2,671,958

2,595,404

Diluted

2,902,112

2,672,907


CONDENSED CONSOLIDATED BALANCE SHEET
(Unaudited)

October 31, 1998

July 31, 1998

Assets

Cash and short-term investments

$

2,949,000

$

2,744,000

Current assets (other than cash and

short-term investments)

12,513,000

12,343,000

Property, plan and equipment - net

4,442,000

4,314,000

Intangible assets

1,877,000

- -

Other assets

307,000

307,000

 

Total assets

$

22,088,000

$

19,710,000

 

Liabilities and Stockholders' Equity

Currant liabilities

$

7,600,000

$

6,172,000

Long-term debt, less current installments

1,287,000

$

1,445,000

Stockholders' equity

13,201,000

12,093,000

 

Total liabilities and stockholders' equity

$

22,088,000

$

19,710,000