BEI Technologies Reports Fiscal 2004 Second Quarter Results: Record Quarter Revenues and Earnings
SAN FRANCISCO, April 28 /PRNewswire-FirstCall/ -- BEI Technologies, Inc. (Nasdaq: BEIQ - News) reported that for the fiscal 2004 second quarter ended April 3, 2004, earnings were $3.5 million or $0.24 per share, compared with an after tax net loss of $0.3 million, or $0.02 per share, in the fiscal 2003 second quarter. Net sales for the quarter increased to $73.5 million compared with $54.7 million in the 2003 second quarter, according to Charles Crocker, chairman and chief executive officer.
Automotive sales increased to $44.4 million compared with $31.1 million in the same quarter last year primarily as a result of increased sensor module shipments to our largest customer. The remainder of the quarterly sales increase was in industrial product sales due mostly to increased actuator shipments to the semiconductor capital equipment market and quartz commercial aviation products.
Gross margin for the quarter was 25.3% versus 23.3% for the same quarter last year, which primarily reflects increased industrial sales which had a favorable impact on the gross margin. Also, approximately 1% of the quarter's gross margin increase was the negotiated recovery from two vendors of previously expensed scrap costs. Selling, general and administrative spending increased to $9.6 million from second quarter 2003 spending of $8.7 million due primarily to a $0.8 million write down of impaired leasehold improvements at our Tustin operation due to a pending product line asset sale, which we expect to be completed in the third quarter of fiscal 2004. Selling, general and administrative expense as a percentage of net sales decreased to 13.0% from 15.9% in the fiscal 2003 second quarter. Research and development spending decreased from $4.3 million in the same quarter last year to $3.4 million in the most recent quarter primarily due to reduced silicon gyro effort.
Cash inflow for the quarter was $4.5 million, enhanced by increased business activity with increased trade payables at quarter end. We ended the quarter with a cash balance of $10.1 million and no usage under our line of credit. Purchase of property, plant and equipment was $2.5 million.
Crocker stated, "We are pleased with the revenue growth and margin improvement in the quarter. Shipments during the quarter of 935,000 GyroChip sensors to automotive customers for stability control systems is a record. We continue to build capacity to support future growth and to run our production lines at a more effective operational level. We are encouraged by the increase of our industrial business but continue to be cautious regarding the second half of fiscal 2004." |
