Signal Technology Expects Solid Demand in Defense and Homeland Security Markets to Drive 15% Sales Growth in 2003
DANVERS, Mass.--(BUSINESS WIRE)--Jan. 8, 2003--
Company Announces 2003 Financial Guidance in Advance of Presentation
at Needham & Company Growth Conference
Signal Technology Corporation (Nasdaq:STCO), today announced its financial guidance for the first quarter and year 2003 in advance of the Company's 4:30 p.m. (ET) presentation today at the Fifth Annual Needham & Company Growth Conference in New York City.
Signal Technology anticipates continued solid demand for its products for electronic countermeasures, missile guidance, radar and intelligence systems during the year ahead. The Company's 2003 financial guidance is as follows:
First quarter 2003 guidance:
-- Revenues of $17 million to $19 million.
-- Pre-tax income of $800,000 to $1 million, or $0.07 to $0.09
per diluted share.
Full year 2003 guidance:
-- Revenues of $94 million to $98 million.
-- Pre-tax income of $10 million to $11 million, or $0.85 to
$0.93 per diluted share.
"Signal Technology's current product portfolio and product roadmap are closely aligned with the U.S. military's drive to enhance its electronic warfare, missile guidance, radar, intelligence and communications capabilities," said Chairman and Chief Executive Officer George Lombard. "As a result, Signal Technology surpassed its target of $100 million in bookings for 2002, and we expect to produce strong sales growth in 2003. Although first-quarter 2003 sales are expected to be level with sales in the first quarter of 2002, we expect our revenues and pre-tax income to increase substantially as orders booked in 2002 are shipped during subsequent quarters."
"Our RF, microwave and power management products are being used by all of the nation's major defense contractors on a wide range of key military platforms," Lombard said. "Building on this strong technology and customer base, we are broadening our presence on new and transitional platforms in both the defense and homeland security markets. At the same time, we are evolving our product mix toward higher value-added subsystems and multi-function assemblies. Signal Technology is well positioned to benefit from America's renewed commitment to national defense."
The Company also said that it recently closed a $10 million secured credit facility and $4.3 million in mortgage financing with Citizens Bank. The credit facility will be used for general corporate purposes. Signal Technology's current cash balance is over $23 million.
The Company will be presenting at the Fifth Annual Needham & Company Growth Conference today at 4:30 p.m. (ET). Signal Technology Chairman and Chief Executive Officer George Lombard will discuss the Company's growth strategy and outlook for the first quarter and 2003 fiscal year.
For those unable to attend the conference, Signal Technology will broadcast its presentation live over the Internet. To access the presentation, investors should visit the Company's Web site (www.sigtech.com), and click on the "Corporate Information" link prior to the Web cast.
The Company expects to report fourth quarter and 2002 financial results and provide more detail on its business outlook on February 13, 2003. |
