GenRad Reports Second Quarter Results
Tuesday July 20, 4:45 pm Eastern Time
Company Press Release
Orders Increase to $96 Million Reflecting Ford WDS Ramp-Up
WESTFORD, Mass.--(BUSINESS WIRE)--July 20, 1999--GenRad, Inc. (NYSE:GEN -
news) today reported for its second quarter ended July 3, 1999 diluted earnings per share of
$0.27, compared to $0.19, excluding unusual charges, for the second quarter of 1998. Net
income for the second quarter of 1999, was $8.0 million versus $5.7 million, excluding unusual
charges, for the second quarter of 1998. Revenues for the second quarter were $63.6 million
versus $58.9 million for the second quarter of 1998. Orders for the second quarter of 1999
were $96.0 million versus $52.9 million in the second quarter of 1998.
Year to date net income, before a reversal of a portion of the deferred tax valuation allowance,
was $13.8 million or $0.47 per share as compared to year-to-date 1998 net income of $7.1
million or $0.24 per share on a diluted basis, before a reversal of a portion of the deferred tax
valuation allowance and excluding unusual charges. Revenues for the first six months of 1999
were $116.7 million as compared to revenues of $108.0 million for the same period last year.
Orders for the first six months of 1999 were $155.3 million compared to $106.8 million for the
first six months of 1998.
James F. Lyons, GenRad's President and Chief Executive Officer, commented, ''We are very
pleased with the order, revenue and earnings per share growth generated in this second quarter.
During the quarter, we began shipment of Ford WDS units into Europe and continued building
inventories in anticipation of the third quarter launch in North America.''
GenRad Background
GenRad, Inc. provides electronics OEMs and their customers with the hardware, software and
services to increase productivity by optimizing product design, manufacturing and after-market
service. GenRad, headquartered in Westford, MA, offers products and services through three
business units: Advanced Diagnostic Solutions (ADS), Electronic Manufacturing Solutions
(EMS), and GR Software (GRS). GenRad's web site address is genrad.com.
GenRad's most current shareholder information is available by visiting our Website at
genrad.com or calling our Fax on Demand Service at (800) 469-1261.
Statements made in this press release which are not historical, including statements regarding
future performance, product capabilities and markets are forward looking statements and as
such are subject to a number of risks. Factors that may cause results to differ materially from
those projected are discussed in GenRad's 1998 Annual Report on Form 10-K for the fiscal
year ending January 2, 1999 and form 10-Q for the quarter ended April 3, 1999 under the
section ''Management's Discussion and Analysis of Financial Conditions and Results of
Operations - Factors That May Affect Future Results.''
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GenRad, Inc. and Subsidiaries
Supplemental Information
(in thousands, except per share amounts)
Three Months Ended
July 3, July 4, %
1999 1998 Change
Orders $ 95,968 $ 52,882 81%
Total Revenue $ 63,618 $ 58,940 8%
Net Income (Loss) $ 7,960 $(11,940) NM
Weighted Average Shares Outstanding:
Basic 28,518 28,286
Diluted 29,480 28,286
Net Income (Loss) Per Share:
Basic $ 0.28 $ (0.42) NM
Diluted $ 0.27 $ (0.42) NM
Net Income (Loss) Per Share Data
(Diluted):
Net income (loss) as reported $ 7,960 $(11,940) NM
Unusual charges, net of tax -- 17,676
Net income excluding
unusual charges $ 7,960 $ 5,736 39%
Net income per share
excluding unusual charges(a) $ 0.27 $ 0.19 42%
Six Months Ended
July 3, July 4, %
1999 1998 Change
Orders $ 155,322 $ 106,816 45%
Total Revenue $ 116,728 $ 108,012 8%
Net Income (Loss) $ 18,282 $ (3,032) NM
Weighted Average Shares Outstanding:
Basic 28,392 27,887
Diluted 29,412 27,887
Net Income (Loss) Per Share:
Basic $ 0.64 $ (0.11) NM
Diluted $ 0.62 $ (0.11) NM
Net Income (Loss) Per Share Data
(Diluted):
Net income (loss) as reported $ 18,282 $ (3,032) NM
Reversal of deferred tax
valuation allowance (4,500) (7,500) 40%
Unusual charges, net of tax -- 17,676
Net income before reversal
of deferred tax valuation
allowance and excluding
unusual charges $ 13,782 $ 7,144 93%
Net income per share before
reversal of deferred tax
valuation allowance and
excluding unusual charges(a) $ 0.47 $ 0.24 96%
(a) Including common stock equivalents of 1,696 and 1,984 for the
three and six months ended July 4, 1998, respectively.
Contact:
GenRad, Inc.
Nancy A. Miller, (978) 589-7144
millern@genrad.com |
