Doug and Mark,
I will try to get in on the CC tomorrow. Here is the report:
Innovex Announces Fiscal 1998 Results
HOPKINS, Minn., Nov. 9 /PRNewswire/ -- Innovex, Inc. (Nasdaq: INVX) today
announced earnings for its fiscal year ending September 30, 1998. Net income
was $15,911,000 on revenues of $96,278,000. This compares to revenue of
$142,004,000 and net income of $35,094,000 for fiscal 1997. Diluted net
income per share was $1.05 for the fiscal 1998, compared with $2.31 per share
for the prior year.
Fourth quarter revenues were $17,865,000, as compared to $32,343,000
during the fourth quarter of fiscal 1997. Net income for the fourth quarter
was $1,965,000, a decrease from the $7,757,000 reported for the same period
one year ago. Diluted net income per share was $0.13 for the fourth quarter
of fiscal 1998, compared with $0.51 per share for the prior years fourth
quarter.
Gross and net margins for fiscal 1998 were 33% and 17%, respectively, as
compared to 43% and 25%, respectively, in fiscal 1997. Lower gross and net
margins are primarily due to decreased lead wire assembly shipments associated
with the downturn in the disk drive industry and reduced pricing due to excess
capacity in the market.
Shipments of the head interconnect flex (HIF) increased to over 1 million
units per week at the end of the fiscal year. HIF shipments are anticipated
to increase to 1.5 million by the end of the fiscal 1999 first quarter. In
addition, the Company's customers are evaluating the new flex suspension
assembly (FSA) product with production volumes expected in the fiscal 1999
third quarter. The Company also started to ship its new Bridge Flex product
during the first quarter of fiscal 1999. The Bridge Flex completes the
connection from the suspension to the actuator flex for competing disk drive
head interconnect solutions that terminate at the end of the suspension. The
Company is in qualification for four semiconductor packaging applications at
two chip packaging manufacturers with volume production expected in the third
quarter of fiscal 1999.
Innovex is a diversified manufacturer of electrical components for the
computer, medical and telecommunication markets, as well as a developer of
computer software. Innovex is known worldwide for its excellence in advanced
engineering and low cost manufacturing.
Except for historical information contained herein, the matters discussed
in this release are forward looking statements that involve risks and
uncertainties, including the timely availability and acceptance of new
products, the impact of competitive products and pricing, and other risks
detailed from time to time in the Company's SEC reports, including the report
on Form 10-K for the year ended September 30, 1998 and other Securities and
Exchange Commission filings.
INNOVEX, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
Three Months Ended Twelve Months Ended
September 30, September 30,
1998 1997 1998 1997
Net sales $17,865,262 $32,342,858 $96,277,930 $142,003,743
Costs and expenses:
Cost of sales 13,169,607 19,419,292 64,225,956 81,027,750
Selling, general and
administrative 1,773,222 1,551,458 7,372,209 8,764,366
Engineering 865,053 946,261 4,148,895 3,572,203
Net interest & other
(income) expense (717,231) (499,723) (2,123,209) (1,338,179)
Income before income
taxes 2,774,611 10,925,570 22,654,079 49,977,603
Provision for
income taxes 810,000 3,169,000 6,743,000 14,884,000
Net income $1,964,611 $7,756,570 $15,911,079 $35,093,603
Net income per share:
Basic $0.13 $0.53 $1.08 $2.43
Diluted $0.13 $0.51 $1.05 $2.31
Weighted average shares outstanding:
Basic shares 14,773,136 14,596,367 14,695,214 14,424,427
Diluted shares 14,980,110 15,250,229 15,125,790 15,161,820
INNOVEX, INC.
CONSOLIDATED BALANCE SHEETS
September 30, September 30,
Assets 1998 1997
Cash and short-term investments $57,455,264 $37,882,620
Accounts receivable, net 10,521,518 22,052,121
Inventory 5,717,330 7,252,596
Other current assets 5,624,951 4,161,938
Total current assets 79,319,063 71,349,275
Property, plant and equipment, net 28,501,443 23,748,632
Intangible & other assets, net 1,831,343 2,176,847
Total assets $109,651,849 $97,274,754
Liabilities and Stockholders' Equity
Current liabilities $6,251,133 $9,506,647
Long-term debt 755,024 950,733
Other long-term liabilities 227,632 --
Stockholders' equity 102,418,060 86,817,374
Total liabilities
and stockholders' equity $109,651,849 $97,274,754
SOURCE Innovex, Inc.
-0- 11/9/98
/CONTACT: Thomas W. Haley, Chairman and CEO or Douglas W. Keller,
Vice-President of Finance of Innovex, Inc., 612-938-4155 or fax 612-912-0714/
/Web site: innovexinc.com
(INVX) |
