HSR cont'd...9mo numbers:
HSR Revenue Up In Third Quarter 2002
HSR Revenue Up In Third Quarter 2002
Business Editors
TORRANCE, Calif.--(BUSINESS WIRE)--April 12, 2002--Hi-Shear
Technology Corporation, Torrance, CA (AMEX:HSR) today announced
results for its third quarter ended February 28, 2002. Revenue of
$3,854,000 for the quarter reflected increased space and missile
product revenues as compared to $2,930,000 for the same period last
year. Increased volume and reduced manufacturing costs generated an
operating income of $358,000 or 9% of revenues, which is up
substantially from the operating income of $49,000 or 2% of revenues
during the same quarter last year. Improved operating results and
lower interest costs resulted in a net income of $278,000 for the
quarter as compared to the ($49,000) reported for the same period last
year.
Revenue was $11,193,000, up significantly from the $8,240,000 for
the nine months ending February 28, 2002, for the same period last
year. Higher product volume more than offset higher general
administrative costs and increased operating income during the first
nine months to $1,086,000, compared to an operating income of $583,000
during the same period last year. Net income for the first nine months
was $1,085,000 and reflected improved operating income, decreased
interest rates, and the cumulative effect of an accounting change,
compared to a net income of $87,000 for the same period last year.
NASA Jet Propulsion Laboratory (JPL) has chosen Hi-Shear to be a
critical supplier of pyrotechnic devices for its Mars Exploration
Rovers (MER) program. In mid-2003, two rovers will be launched and
each will enter the Martian atmosphere in early 2004. Hi-Shear
products will perform many major functions for the rover's mission
including the separation of the cruise stage, ejection of the heat
shield, the separation of the lander, the petal and hi-gain antenna
release, the panorama camera master release, the rover release, and
the deflation of the rover's air bags. Hi-Shear has been an important
supplier of actuators and deployment mechanisms to NASA JPL and its
Mars Exploration program for over 20 years and is proud of its
involvement in this exciting exploration mission.
During the quarter, the Company was recognized for its outstanding
capability and service by two prominent customers. Hi-Shear was
awarded a Certificate of Appreciation by Lockheed Martin Space Systems
Company for its outstanding support to the Space Shuttle External Tank
Project. Senior NASA and Lockheed Martin executives gave special
recognition to many Hi-Shear employees for the fine work they
performed. Hi-Shear successfully manufactured and delivered
Pyrotechnic Separator Bolts to the Lockheed Martin Michoud Operations,
meeting their critical schedule needs.
Also, Hi-Shear was recognized by Alliant Techsystems for the
flawless performance of the Power Switch Assemblies and High Energy
Firing Units that Hi-Shear has supplied for use on each Titan IV
launch. These critical components initiate the Thrust Vector Control
System, the Motor Ignition System and the Staging Rocket Ignition
System. The Alliant Techsystems executives visited our plant to
specifically laud the performance of each Hi-Shear employee who worked
on these products.
Hi-Shear Technology Corporation provides aerospace products in
applications where safety, performance and high reliability are
essential. It develops and produces advanced systems and products that
are primarily used worldwide in space satellites, launch vehicles, and
government programs. The Company is also continuing to adapt its
technology to produce advanced, competitively priced products for both
aerospace/defense and commercial markets.
This release, as it relates to product announcements and other
Company matters, contains forward-looking statements, which are made
pursuant to the safe harbor provisions of the Private Securities
Litigation Reform Act of 1995. Investors are cautioned that all
forward-looking statements involve risks and uncertainties including,
without limitation, risks related to market acceptance of and demand
for the Company's new commercial products, dependence on the
uncertainty of government budgetary issues, primary government
contracts, and intellectual property rights.
The Company's Form 10-QSB will be filed with the Securities and
Exchange Commission on or about April 15, 2002. The 10-QSB will be
available at www.hstc.com or contact Ms. Linda A. Nespole (310)
784-7821.
-0-
*T
HI-SHEAR TECHNOLOGY CORPORATION
STATEMENTS OF OPERATIONS
Nine-Month Period Ended Three-Month Period Ended
February 28 February 28
----------------------- ------------------------
2002 2001 2002 2001
Revenues $11,193,000 $ 8,240,000 $ 3,854,000 $ 2,930,000
Cost of Revenues 8,078,000 5,875,000 2,810,000 2,309,000
----------- ----------- ----------- -----------
Gross Margin 3,115,000 2,365,000 1,044,000 621,000
Selling, General
and Administrative
Expenses 2,029,000 1,782,000 686,000 572,000
----------- ----------- ----------- -----------
Operating Income 1,086,000 583,000 358,000 49,000
Interest Expense 277,000 486,000 80,000 148,000
----------- ----------- ----------- -----------
Income (Loss)
before Income
Tax Expense and
Cumulative Effect
of Accounting Change 809,000 97,000 278,000 (99,000)
Income Tax
Expense (Benefit) 0 10,000 0 (50,000)
----------- ----------- ----------- -----------
Income (Loss) before
Cumulative Effect of
Accounting Change 809,000 87,000 278,000 (49,000)
Cumulative Effect of
Accounting Change 276,000 0 0 0
----------- ----------- ----------- -----------
Net Income (Loss) $ 1,085,000 $ 87,000 $ 278,000 $ (49,000)
=========== =========== =========== ===========
Basic Earnings per
Common Share and
per Common Share
Assuming Dilution:
Income before
Cumulative Effect
of Accounting
Change $ 0.12 $ 0.01 $ 0.04 $ (0.01)
Cumulative Effect of
Accounting Change $ 0.04 $ -- $ -- $ --
----------- ----------- ----------- -----------
Net Income (Loss) $ 0.16 $ 0.01 $ 0.04 $ (0.01)
=========== =========== =========== ===========
Weighted Number of
Common Shares
Outstanding -
Basic and Assuming
Dilution 6,670,000 6,670,000 6,670,000 6,670,000
=========== =========== =========== ===========
HI-SHEAR TECHNOLOGY CORPORATION
FINANCIAL STATEMENTS
BALANCE SHEETS
February 28, May 31
2002 2001
------------ --------
ASSETS:
Current Assets:
Cash and cash equivalents $ 0 $ 61,000
Accounts receivable 8,401,000 7,614,000
Claims receivable 616,000 816,000
Inventories 3,307,000 3,618,000
Deferred taxes 700,000 700,000
Prepaid expenses and
other current assets 217,000 393,000
----------- -----------
Total current assets 13,241,000 13,202,000
Land held for sale 846,000 846,000
Equipment, net 2,297,000 2,641,000
Deferred taxes 901,000 901,000
Intangible assets, net 68,000 74,000
----------- -----------
$17,353,000 $17,664,000
=========== ===========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Bank line of credit $ 4,062,000 $ 4,857,000
Current portion of long-term
notes payable 623,000 1,322,000
Trade accounts payable 1,953,000 1,557,000
Accrued payroll and related costs 471,000 527,000
Deposits held 0 247,000
Deferred revenue 222,000 102,000
Other accrued liabilities 431,000 431,000
----------- -----------
Total current liabilities 7,762,000 9,043,000
Long-Term Notes Payable, less
current portion 161,000 0
----------- -----------
Total liabilities 7,923,000 9,043,000
Excess of Net Assets Acquired
Over Purchase Price 0 276,000
Stockholders' Equity
Preferred stock, $1.00 par value;
500,000 shares authorized;
no shares issued -- --
Common stock, $.001 par value
- 25,000,000 shares authorized;
issued and outstanding 6,670,000
shares 7,000 7,000
Additional paid-in capital 7,193,000 7,193,000
Retained earnings 2,230,000 1,145,000
----------- -----------
Total stockholders' equity 9,430,000 8,345,000
----------- -----------
TOTAL $17,353,000 $17,664,000
=========== ===========
*T
--30--kr/la* hb/la
CONTACT: Hi-Shear Technology Corporation
Linda A. Nespole, 310/784-7821
www.hstc.com |
