ROANOKE, Va., June 5 /PRNewswire/ -- Optical Cable Corporation
(NASDAQ:OCCF) today announced results for its fiscal second quarter ended
April 30, 1997. Net sales for the second quarter of fiscal 1997 rose 4.5% to
$10.6 million from $10.2 million in the same period last year. Net income for
the second quarter of 1997 declined 5.4% to $1.3 million, or $0.04 per
share, versus pro forma net income of $1.4 million, or $0.04 per share, in
the year ago period. Weighted average shares outstanding for the quarter
declined by 0.4% to 38,675,416 versus pro forma weighted average shares of
38,692,284 last year.
Net sales for the six months ending April 30, 1997 rose 12.7% to $23.1
million from $20.5 million in the six months ended April 30, 1996. Net income
for the period increased 9.6% to $3.4 million, or $0.09 per share, compared to
pro forma net income of $3.1 million, or $0.08 per share, in the same period
of 1996. Weighted average shares outstanding for the six months of 1997
increased 1.1% to 38,675,416 versus pro forma weighted average shares of
38,246,142 in the year ago period.
Results for the second quarter of fiscal 1997 reflect a 6.6% decline in
international sales due to a general slowdown in the European market as well
as seasonal weakness in domestic markets. The gross margin in the second
quarter of fiscal 1997 improved slightly to 40.3% compared to 40.2% in the
year ago quarter. Selling general and administrative expenses as a percentage
of sales increased in the quarter to 21.2% from 19.4% in the year ago quarter
primarily due to additional costs associated with being a public company.
Total stockholders' equity increased to $27 million.
"We are somewhat disappointed with the results for the second quarter,"
stated Robert Kopstein, President and Chief Executive Officer. "The second
quarter is typically our weakest, and in addition to the slowdown in the
European market, domestic sales were soft early in the second quarter.
Beginning in April, business began to rebound, returning to our projected
target levels. As is typical in the cable business, we expect sales to ramp
up as we move through our fiscal third quarter and into the seasonally strong
fourth quarter. Our efforts to reach a broader customer base, both
domestically and internationally, are continuing with increased advertising,
trade show attendance, and a growing direct sales force."
Optical Cable Corporation manufactures and markets a broad range of fiber
optic cables for "high bandwidth" transmission of data, video and audio
communications over moderate distances. Optical Cable Corporation's cables
can be used both indoors and outdoors and utilize a tight-buffered coating
that protects the optical fiber.
NOTE: This news release contains certain forward looking statements that
are subject to risks and uncertainties that could cause actual results to
differ materially from those projected or forecasted. Such risks and
uncertainties include, but are not limited to, those disclosed in the
Company's Annual Report and Form 10-K for fiscal year 1996.
NOTE: Further information on Optical Cable Corporation is available
through our website on the World Wide Web at occfiber.com
To receive additional information on Optical Cable Corporation, via fax, at
no charge,
dial 1-800-PRO-INFO and enter code OCCF.
OPTICAL CABLE CORPORATION
CONDENSED STATEMENTS OF INCOME
(In thousands, except per share data)
Three Months Ended Six Months Ended
April 30, April 30,
1997 1996 1997 1996
Net sales $10,646 $10,184 $23,137 $20,526
Cost of goods sold 6,353 6,087 13,493 11,722
Gross profit 4,293 4,097 9,644 8,804
Selling, general and
admin. expenses 2,258 1,973 4,397 3,912
Other income (expense), net 1 128 (7) 135
Net income before income
tax $2,036 $2,252 $5,240 $5,027
Income tax expense 723 8651 1,847 1,930(A)
Net income $1,313 $1,387(A) 3,393 3,097(A)
Net income per share $0.04 $0.04(A) $0.09 $0.08(A)
Weighted average shares
outstanding 38,675 38,692(A) 38,675 38,246(A)
(A) Pro Forma for 1996
BALANCE SHEET DATA
(In thousands)
April 30, October 31,
1997 1996
Current assets 19,361 21,883
Total assets 30,946 31,127
Current liabilities 3,937 7,506
Long-term debt 0 0
Stockholders' equity 26,964 23,572
Total liabilities and stockholders' equity $30,946 $31,127 |
