SYRACUSE, N.Y., Oct. 27 /PRNewswire-FirstCall/ -- Anaren, Inc.
(NASDAQ:ANEN) today reported net sales for the first quarter ended
September 30, 2005 were $24.6 million, down 1% from the first
quarter of fiscal year 2005, and up 2% sequentially from the fourth
quarter of fiscal 2005. (Logo:
http://www.newscom.com/cgi-bin/prnh/20021022/NYTU197LOGO ) Net
income for the first quarter was $2.3 million, or $0.13 per diluted
share including $834,000 or $0.04 per diluted share in equity based
compensation expense as required by Statement of Accounting
Standard 123R (SFAS 123R). This compares to net income of $2.0
million, or $0.10 per diluted share for the first quarter of fiscal
2005 and $2.6 million, or $0.14 per diluted share, for the fourth
quarter of fiscal 2005. Net income for the first and fourth
quarters of fiscal 2005 included no equity based compensation
expense. Net income for the first quarter of fiscal 2006 before
equity based compensation expenses was $3.0 million, or $0.17 per
diluted share. The effective tax rate for the first quarter of
fiscal 2006 was 23.3%, compared to 27.0% for the first quarter of
fiscal 2005 and 15.2% for the fourth quarter of fiscal 2005.
Operating income for the first quarter was $2.4 million, or 9.6% of
net sales, including $834,000, or 3.4% of net sales, in equity
based compensation expense, unchanged from the first quarter of
last year, and down $194,000, or 7.6% from the fourth quarter of
fiscal 2005. Operating income for both the first and fourth
quarters of fiscal 2005 included no equity based compensation
expense. Operating income for the first quarter of fiscal 2006
before equity based compensation expenses was 13% of net sales.
Lawrence A. Sala, Anaren's President and CEO said, "Continued
growth in the Space and Defense Group as well as sequential growth
in wireless consumer component demand resulted in improved net
sales for the quarter. The increase in net sales, operating
efficiency improvements completed in fiscal 2005, and a favorable
product mix all had a positive impact on our profitability for the
quarter." Balance Sheet Cash, cash equivalents and marketable debt
securities at September 30, 2005 were $79.6 million. During the
quarter, the Company generated $3.1 million in cash from
operations, repurchased 352,274 shares of its common stock for $4.9
million and expended $848,000 on capital additions. Wireless Group
Wireless Group net sales for the quarter were $16.4 million, down
8% from the first quarter of last year, and up 1% sequentially from
the fourth quarter of fiscal 2005. The increase in wireless net
sales from the fourth quarter was the result of increased sales of
consumer component and custom assembly products. Sales of consumer
component products increased 140% sequentially from the fourth
quarter to $1.3 million. This growth was driven by increased demand
from satellite television low noise block amplifier applications.
In addition, as in the fourth quarter, a substantial percentage of
resistive product sales came as the result of fulfilling shipments
that had been delayed due to the consolidation of our RF Power and
Amitron subsidiaries. Resistive product deliveries were relatively
current at the end of the first quarter. Customers that exceeded
10% of Wireless Group net sales for the quarter were Nokia Corp.
and Motorola, Inc. Wireless Group research and development spending
increased during the first quarter as a result of increased
consumer and ferrite component development activity. Space and
Defense Group Space and Defense Group net sales for the quarter
were $8.2 million, up 15% from the first quarter of fiscal 2005,
and up 4% sequentially from the fourth quarter. New orders for the
quarter totaled $11.1 million resulting in a book to bill ratio of
1.35 to 1.0. Orders for the quarter included contracts for
shipborne jammer, missile receiver, and airborne passive ranging
applications. Space and Defense backlog at September 30, 2005 was
$50.4 million, up 6% from $47.5 million at June 30, 2005. Outlook
Given the current volatile wireless market demand and our Space and
Defense order backlog, we expect net sales to be in the range of
$23.5 - $25.0 million for the second quarter of fiscal 2006. With
an anticipated tax rate of approximately 23% and an expected equity
based compensation expense of approximately $0.04 per diluted
share, we expect net earnings per diluted share to be in the range
of $0.09 - $0.12 for the second quarter. Forward-Looking Statements
The statements contained in this news release which are not
historical information are "forward-looking statements". These, and
other forward- looking statements, are subject to business and
economic risks and uncertainties that could cause actual results to
differ materially from those discussed. The risks and uncertainties
described below are not the only risks and uncertainties facing our
Company. Additional risks and uncertainties not presently known to
us or that are currently deemed immaterial may also impair our
business operations. If any of the following risks actually occur,
our business could be adversely affected, and the trading price of
our common stock could decline, and you may lose all or part of
your investment. Such known factors include, but are not limited
to: the Company's ability to timely ramp up to meet some of our
customers' increased demands; unanticipated delays and/or
difficulties associated with effectively operating the Company's
recently consolidated Anaren Ceramics subsidiary; unanticipated
delays in successfully completing customer orders within
contractually required timeframes; increased pricing pressure from
our customers; decreased capital expenditures by wireless service
providers; the possibility that the Company may be unable to
successfully execute its business strategies or achieve its
operating objectives, generate revenue growth or achieve
profitability expectations; successfully securing new design wins
from our OEM customers, reliance on a limited number of key
component suppliers, unpredictable difficulties or delays in the
development of new products; order cancellations or extended
postponements; the risks associated with any technological shifts
away from the Company's technologies and core competencies;
unanticipated impairments of assets including investment values and
goodwill; diversion of defense spending away from the Company's
products and or technologies due to on-going military operations;
and litigation involving antitrust, intellectual property,
environmental, product warranty, product liability, and other
issues. You are encouraged to review Anaren's 2005 Annual Report,
Anaren's Form 10-K for the fiscal year ended June 30, 2005 and
Anaren's Form 10-Q for the three months ended September 30, 2005
and exhibits to those Reports filed with the Securities and
Exchange Commission to learn more about the various risks and
uncertainties facing Anaren's business and their potential impact
on Anaren's revenue, earnings and stock price. Unless required by
law, Anaren disclaims any obligation to update or revise any
forward-looking statement. Conference Call Anaren will host a live
teleconference, open to the public, on the Anaren Investor Info,
Live Webcast Web Site (http://www.anaren.com/) and ccbn.com at
http://www.streetevents.com/ on Thursday, October 27, 2005 at 5:00
p.m. EDT. A replay of the conference call will be available at 8:00
p.m. (EDT) beginning October 27, 2005 through midnight October 31,
2005. To listen to the replay, interested parties may dial in the
U.S. at 1-888-203-1112 and international at 1-719-457-0820. The
access code is 6415703. If you are unable to access the Live
Webcast, the dial in number for the U.S. is 1-800-262-1292 and
International is 1-719-457-2680. Company Background Anaren designs,
manufactures and sells complex microwave signal distribution
networks and components for the wireless communications, satellite
communications and defense electronics markets. For more
information on Anaren's products, visit our Web site at
http://www.anaren.com/. Anaren, Inc. Consolidated Condensed
Statements of Income (Unaudited) Three Months Ended Sept. 30, 2005
Sept. 30, 2004 Sales $24,614,358 $24,907,357 Cost of sales
15,959,912 17,016,539 Gross profit 8,654,446 7,890,818 Costs and
expenses Marketing 1,768,079 1,776,645 Research and development
2,034,641 1,645,077 General and administrative 2,492,310 2,102,185
Total operating expenses 6,295,030 5,523,907 Operating income
2,359,416 2,366,911 Other Income (expense) Other income, primarily
interest 587,744 353,058 Interest expense (6,143) (5,805) Total
other income (expense) 581,601 347,253 Income before income tax
2,941,017 2,714,164 Income taxes 687,000 733,000 Net income
$2,254,017 $1,981,164 Basic earnings per share $0.13 $0.10 Diluted
earnings per share $0.13 $0.10 Shares used in computing net income
per share: Basic 17,402,270 20,144,447 Diluted 17,936,051
20,678,163 Anaren, Inc. and Subsidiaries Consolidated Condensed
Statements of Income (Unaudited) Three Months Ended Sept. 30, 2005
Sept. 30, 2004 Net sales 100.0% 100.0% Cost of sales 64.8% 68.3%
Gross profit 35.2% 31.7% Operating expenses: Marketing 7.2% 7.1%
Research and development 8.3% 6.6% General and administrative 10.1%
8.5% Total operating expenses 25.6% 22.2% Operating income 9.6%
9.5% Other income (expense): Other, primarily interest income 2.4%
1.4% Interest expense 0.0% 0.0% Total other income, net 2.4% 1.4%
Income before income taxes 12.0% 10.9% Income taxes 2.8% 2.9% Net
income 9.2% 8.0% Anaren, Inc. and Subsidiaries Consolidated
Condensed Statements of Income (Unaudited) Three Months Ended Sept.
30, 2005 Sept. 30, 2004 June 30, 2005 Net sales $24,614,358
$24,907,357 $24,120,268 Cost of sales 15,959,912 17,016,539
16,054,707 Gross profit 8,654,446 7,890,818 8,065,561 Operating
expenses: Marketing 1,768,079 1,776,645 1,707,082 Research and
development 2,034,641 1,645,077 1,620,284 General and
administrative 2,492,310 2,102,185 2,184,577 Total operating
expenses 6,295,030 5,523,907 5,511,943 Operating income 2,359,416
2,366,911 2,553,618 Other income (expense): Other, primarily
interest income 587,744 353,058 507,977 Interest expense (6,143)
(5,805) (7,637) Total other income, net 581,601 347,253 500,340
Income before income taxes 2,941,017 2,714,164 3,053,958 Income
taxes 687,000 733,000 464,000 Net Income $2,254,017 $1,981,164
$2,589,958 Basic earnings per share $0.13 $0.10 $0.14 Diluted
earnings per share $0.13 $0.10 $0.14 Shares used in computing net
income per share: Basic 17,402,270 20,144,447 18,315,130 Diluted
17,936,051 20,678,163 18,669,847 Anaren, Inc. and Subsidiaries
Consolidated Condensed Statements of Income (Unaudited) Three
Months Ended Sept. 30, 2005 Sept. 30, 2004 June 30, 2005 Net sales
100.0% 100.0% 100.0% Cost of sales 64.8% 68.3% 66.6% Gross profit
35.2% 31.7% 33.4% Operating expenses: Marketing 7.2% 7.1% 7.1%
Research and development 8.3% 6.6% 6.7% General and administrative
10.1% 8.5% 9.0% Total operating expenses 25.6% 22.2% 22.8%
Operating income 9.6% 9.5% 10.6% Other income (expense): Other,
primarily interest income 2.4% 1.4% 2.1% Interest expense 0.0% 0.0%
0.0% Total other income, net 2.4% 1.4% 2.1% Income before income
taxes 12.0% 10.9% 12.7% Income taxes 2.8% 2.9% 2.0% Net income 9.2%
8.0% 10.7% Anaren, Inc. and Subsidiaries Consolidated Condensed
Statements of Income (Unaudited) Three Months Ended Equity Based
Without Equity Based Compensation Compensation GAAP Results Expense
Expense Sept. 30, 2005 Sept. 30, 2005 Sept. 30, 2005 Net sales
$24,614,358 $ - $24,614,358 Cost of sales 15,959,912 324,609
15,635,303 Gross profit 8,654,446 324,609 8,979,055 35.2% 1.3%
36.5% Operating expenses: Marketing 1,768,079 68,733 1,699,346
Research and development 2,034,641 - 2,034,641 General and
administrative 2,492,310 440,946 2,051,364 Total operating expenses
6,295,030 509,679 5,785,351 Operating income 2,359,416 834,288
3,193,704 9.6% 3.4% 13.0% Other income (expense): Other, primarily
interest income 587,744 - 587,744 Interest expense (6,143) -
(6,143) Total other income, net 581,601 - 581,601 Income before
income taxes 2,941,017 834,288 3,775,305 Income taxes 687,000
(57,000) 744,000 Net Income $2,254,017 $777,288 $3,031,305 9.2%
3.1% 12.3% Basic earnings per share $0.13 $0.04 $0.17 Diluted
earnings per share $0.13 $0.04 $0.17 Shares used in computing net
income per share: Basic 17,402,270 17,402,270 17,402,270 Diluted
17,936,051 17,936,051 17,936,051 Anaren, Inc. Consolidated
Condensed Balance Sheets (Unaudited) Sept. 30, 2005 June 30, 2005
Assets: Cash, cash equivalents and short-term investments
$59,364,868 $58,408,721 Accounts receivable, net 14,766,106
14,780,146 Other receivables 1,251,142 1,144,680 Inventories
20,788,603 19,403,348 Other current assets 1,998,216 1,771,658
Total current assets 98,168,935 95,508,553 Net property, plant and
equipment 24,629,636 24,983,653 Securities available for sale -
3,500,000 Securities held to maturity 20,256,725 20,100,547
Goodwill 30,715,861 30,751,861 Other intangibles 590,023 673,241
Total assets $174,361,180 $175,481,855 Liabilities and
stockholders' equity Liabilities: Accounts payable $6,548,257
$6,077,313 Accrued expenses 1,766,330 2,331,885 Other liabilities
2,825,004 2,545,847 Total current liabilities 11,139,591 10,955,045
Other non-current liabilities 5,709,714 5,448,247 Total liabilities
16,849,305 16,403,292 Stockholders' equity: Retained earnings
60,913,824 58,659,807 Common stock and additional paid-in capital
172,355,862 171,346,105 Accumulated comprehensive loss (683,850)
(747,539) Less cost of treasury stock (75,073,961) (70,179,810)
Total stockholders' equity 157,511,875 159,078,563 Total
liabilities and stockholders' equity $174,361,180 $175,481,855
ANAREN, INC. AND SUBSIDIARIES Consolidated Condensed Statements of
Cash Flows (Unaudited) Three Months Ended Sept. 30, 2005 Sept. 30,
2004 Cash flows from operating activities: Net income $2,254,017 $
1,981,164 Adjustments to reconcile net income to net cash provided
by (used in) operating activities: Depreciation and amortization of
plant and equipment 1,201,919 1,252,667 Amortization of intangibles
83,218 320,992 Provision for doubtful accounts - (5,741) Deferred
income taxes 72,000 73,300 Stock based compensation 861,921 71,550
Receivables 14,040 (2,061,338) Inventories (1,385,255) (1,623,546)
Accounts payable 470,944 (1,002,388) Other assets and liabilities
(429,951) (518,775) Net cash provided by (used in) operating
activities 3,142,853 (1,512,115) Cash flows from investing
activities: Capital expenditures (847,902) (5,606,303) Proceeds
from sale of stock - 293,930 Net maturities of marketable debt and
equity securities 3,532,408 2,503,921 Net cash provided by (used
in) investing activities 2,684,506 (2,808,452) Cash flows from
financing activities: Stock options exercised 147,836 28,642
Purchase of treasury stock (4,894,151) (11,623,399) Net cash used
in financing activities (4,746,315) (11,594,757) Effect of exchange
rates 63,689 962 Net increase (decrease) in cash and cash
equivalents 1,144,733 (15,914,362) Cash and cash equivalents at
beginning of period 5,900,841 23,303,263 Cash and cash equivalents
at end of period $7,045,574 $ 7,388,901
http://www.newscom.com/cgi-bin/prnh/20021022/NYTU197LOGODATASOURCE:
Anaren, Inc. CONTACT: Joseph E. Porcello, VP of Finance,
+1-315-432-8909 Web site: http://www.anaren.com/
Copyright
Anaren, Inc. (MM) (NASDAQ:ANEN)
Historical Stock Chart
From Jun 2024 to Jul 2024
Anaren, Inc. (MM) (NASDAQ:ANEN)
Historical Stock Chart
From Jul 2023 to Jul 2024