I forgot about this stock. Still in my portfolio. net loss of 5 cents per share. See what tomorrow brings.
Blaireo
biz.yahoo.com
Thursday June 1, 6:35 pm Eastern Time
Press Release
SOURCE: COM DEV International Ltd.
COM DEV announces second quarter results for fiscal 2000
COM DEV Space order book grows more than 100 percent COM DEV Wireless' forecast for China grows
CAMBRIDGE, ON, June 1 /CNW/ - COM DEV International Ltd. (TSE:CDV - news) today announced results for the second quarter ended April 30, 2000. The improved operating results represent the third consecutive quarter of revenue growth.
Revenue increased in the quarter to $44.9 million from $42.0 million in the first quarter of 2000. For the six months ended April 30, 2000, revenue was $86.9 million compared to $83.6 million in the same period for the prior year.
The Company's operating performance improved during the second quarter in accordance with the Company's plan. The net loss of $2.0 million, or 5 cents per share, is substantially down from a net loss of $3.9 million, or 12 cents per share, in the first quarter of 2000.
Keith Ainsworth, COM DEV's President and Chief Executive Officer stated, "During the second quarter we continued to build revenues and margins as planned. Steady growth in new orders and bid activity in Wireless and Space has confirmed that improving results are coming from across the company and will carry through the balance of the year. The rise in new orders also demonstrates the progress we are making in implementing our strategy of broadening our market base with new customers and products."
COM DEV Wireless
Revenue for COM DEV Wireless in the second quarter of 2000 was $23.4 million, compared with $17.2 million in the second quarter of 1999. For the six months ended April 30, 2000, revenue was $49.8 million compared to $33.7 million in the prior year.
"We've continued to make solid progress this quarter in meeting our business plan objectives," said Roger Boivin, President of COM DEV Wireless. "Strong order growth from new customers, high levels of satisfaction from existing customers and ongoing efficiency improvements are steadily improving our operating performance. In parallel, we have started the development of exciting new high-speed wireless Internet products that will accelerate growth over the longer term."
Highlights for the quarter are summarized as follows:
- Mr. Roger Boivin was appointed President of COM DEV Wireless.
- Improving margin.
- Developing products for three major new customers.
- Test production runs have been completed in expectation of major RF
conditioning supply contracts for the facility in Suzhou, China. Our
customers have increased their forecast for demand in Q3.
COM DEV Space
COM DEV Space revenue for the second quarter grew to $21.5 million compared with $15.6 million in the first quarter. Order backlog at the end of the quarter had grown to $90 million, reflecting $67 million in new orders.
Highlights for the quarter are summarized as follows:
- Contracts were received worth $40 million to develop and manufacture
the on-board communications processor systems for the Ka-band
multimedia payload on Telesat Canada's Anik F2 satellite.
- The first commercial order for Lithium-ion batteries was received from
a major satellite prime contractor. COM DEV's Lithium-ion battery
provides large mass savings per satellite, resulting in substantial
cost benefits to its customers.
- On-going improvements in switch operations and delivery performance
resulted in significant new orders from the division's major customers.
New switch orders totaled more than $10 million in the quarter.
- New multiplexer contracts worth more than $6 million were signed with
international customers.
- Firm orders worth $12 million were received from a European customer
to start work on a contract that is still being negotiated. The total
value of the new contract is expected to be worth in excess of $25
million when it is concluded.
"COM DEV Space continues to build a very robust order book," said John Keating, President of COM DEV Space. "In addition, our efforts in efficiency improvements and cost control continue to make incremental improvements in profitability. We expect very strong results in the second half of this year and beyond."
Financing
On February 8, 2000 the Company announced plans to complete an equity financing by way of a rights offering. This offering was made to all shareholders of record on February 18, 2000. This financing closed on March 15, 2000. It was fully subscribed and raised more than $37 million.
About COM DEV
COM DEV International Ltd. is a leading producer of wireless infrastructure and the largest Canadian-owned designer and manufacturer of space hardware subsystems. It operates through two divisions: COM DEV Wireless and COM DEV Space that together employ more than 1,200 people at facilities in Ontario, New Brunswick, the United States, the United Kingdom and China.
COM DEV Wireless designs and manufactures leading edge wireless systems and subsystems that enjoy broad acceptance among global wireless, cellular telephone and PCS system vendors. System products include Soft Radios, broadband wireless Internet products, and an IS136 TDMA Base Station optimized for rural cellular and low teledensity applications. Subsystem products comprise signal conditioning equipment that play a critical role in the performance of every cellular Base Station in which they are installed. Typically, these products are provided as cost-effective assemblages that integrate signal filtering, signal amplification and alarm monitoring in a single compact electronics package.
COM DEV Space manufactures advanced products that are sold to the major satellite prime contractors for use in commercial communications and earth science satellites.
An analyst conference call will take place at 8:45 am EST on Friday 2nd June, 2000. This conference call will be web cast live and will be archived for one year. To access this call, visit the COM DEV web site at www.comdev.cc for further instructions.
This news release may contain certain forward-looking statements that involve risks and uncertainties. Actual results may differ materially from results indicated in any forward-looking statements. The company cautions that, among other things, in view of the rapid changes in the wireless communications markets and technologies, and other risks including the cost and market acceptance of the company's new products, the level of individual customer procurements and competitive product offerings and pricing, and general economic circumstances, the company's business prospects may be materially different from forward-looking statements made by the company.
Consolidated Statement of Income
(Unaudited)
(Canadian dollars in thousands, except for per share figures)
For the six months ended April 30 2000 1999
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Revenue $ 86,893 $ 83,554
Cost of revenue 71,142 63,060
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