David, you were right about the heavy volume! ;^) But not about the price going up...
Wednesday December 18 4:11 PM EDT
Celeritek Announces $13 Million in New Orders, Says Other Factors
Could Impact Future Financial Results
SANTA CLARA, Calif., Dec. 18 /PRNewswire/ -- Celeritek Inc a manufacturer of products for the wireless
communications market, said today that it has reached agreement with a major VSAT (very small aperture terminal)
network provider to produce VSAT transmitters. This agreement is currently expected to result in $5 million of
shipments beginning in mid-1997. Celeritek announced a development contract for this product in October. Celeritek
also announced it has received an $8 million order from P Com Inc to produce 38 GHz outdoor units (ODUs) for use
in P-COM's high density, high volume, point-to-point data transmission radio systems. This represents an expansion of
a manufacturing contract Celeritek received in April.
"We are delighted with the new VSAT contract and that we have broadened our relationship with a market leader such
as P-COM in the development of these higher level assembly products for the growing wireless communications
market," said Tamer Husseini, president and chief executive officer of Celeritek.
"However," he added, "Several factors will impact our financial performance through the first quarter of 1998.
"These factors include later than expected placement of several key orders, a slower than anticipated ramp up in certain
of our manufacturing areas and a gradual shift in product mix as demand for semiconductor products increases," he
added.
To address these factors and to capitalize on opportunities in the semiconductor area, Hussein said the company will
be making significant investment in its Gallium Arsenide (GaAs) operations.
Celeritek, Inc., designs and manufactures high frequency radio products that provide core transmit and receive
functions for wireless communications. The company's products are used worldwide by leading manufacturers of
wireless communications systems.
This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and
Section 21E of the Securities Act of 1934. Actual results could differ materially from those projected in the
forward-looking statements as a result of known and unknown risk factors and uncertainties. Such factors may
include, but are not necessarily limited to, the timing, cancellation or delay of customer orders; the mix of products
sold; changes in manufacturing capacities and variations in the utilization of this capacity; market acceptance of the
company's and its customers' products; variations in manufacturing yields and other competitive factors. Reference is
made to the discussion of risk factors detailed in the Company's filings with the Securities and Exchange Commission,
including its reports on Form 10-K and 10-Q. SOURCE Celeritek Inc. |
