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Technology Stocks : Vari-L (VARL) -- Ignore unavailable to you. Want to Upgrade?

To: Robert Lumb who wrote (1460)	11/27/1999 5:47:00 PM
From: pat mudge	Read Replies (1) \| Respond to of 2702

Do you know anything about WiLan symbol WIN on the TSE? Up $17.00 in two days rumour of Cisco purchase. Someone else mentioned WIN last week and I gave it a quick look and passed. Shows what I know. :( Actually, I try to stay away from buyout rumours. If you're the last one in, you're toast. Having said that, I certainly wouldn't mind a buyout rumour in a stock I already own. Have you seen this update from VARL's website? varil.com The third quarter of 1999 was the strongest single quarter in Vari-L's 46-year history. The Company achieved all-time highs in net sales, net income and earningsper share for the period, and through nine months has nearly matched the sales and earnings milestones achieved for all of last year. We believe our year-to-date success confirms the efficacy of our strategy to build high-volume manufacturing capacity to support an aggressive focus on worldwide commercial wireless opportunities. Third-quarter net income increased 29% to $965,000, or 17 cents per basic share and 16 cents per diluted share, compared with net income of $749,000, or 14 cents per basic and diluted share, in the third quarter last year. Net sales for the quarter were up 37% to $6,594,000 versus year-ago net sales of $4,805,000. Through nine months, net income advanced 24% to $2,466,000, or 44 cents per basic and diluted share, compared with net income of $1,981,000, or 37 cents per basic share and 36 cents per diluted share, in the comparable period last year. Nine-month net sales grew 32% to $17,367,000 from net sales of $13,181,000 at the nine-month mark last year. Increased net sales for both the quarter and nine-month period were attributable to consistent domestic demand and steadily increasing international demand for our commercial wireless infrastructure products. The international market segment has been a key driver in our successful transition into the commercial wireless arena in the mid-1990s, and we anticipate it will play an ever-increasing role in our future growth During the third quarter, overall firm customer orders increased 16% to $5.3 million while international orders increased an impressive 115% to $1.8 million, reflecting a resurgence that has been building steadily since the first quarter. Domestic orders came in at $3.5 million versus $3.7 million last year. As anticipated, orders for our commercial wireless products dominated the mix, growing 15% to $4.7 million versus military/aerospace orders of $570,000. Our move into the commercial marketplace has been carefully orchestrated to leverage our technological strengths and flexibility. We initially entered the commercial base station arena, growing very quickly to a point where we now command a majority share of the European GSM market on a worldwide basis. More recently we have set our sights on much larger subscriber markets as well as emerging markets for broadband and other advanced communications technologies involving voice, video and data. We believe that our technology continues to be well received and that we are making solid inroads into these new markets. Some examples of our progress: Commercial orders in the third quarter included approximately $540,000 in purchase agreements for Vari-L's new subscriber components, designed specifically for hand-held consumer products such as wireless phones and pagers. Approximately one-half of our commercial orders in the quarter involved purchase agreements for high-performance broadband components used in wireless Internet communication and other emerging technologies. For example, Stanford Telecom selected Vari-L to provide advanced up-converter modules for a Local Multipoint Distribution Service (LMDS) delivering Internet, video and voice data; Netro will integrate our VCOs into its high-speed network for Internet, voice and frame-relay traffic; and Adaptive Broadband, in an agreement valued at $1.1 million, will use our patented VCOs to help build wireless point-to-point and point-to-multipoint microwave radio networks. Vari-L's business plan remains solidly on track. We continue to advance our own technology with an emphasis on quality, reliability, performance and cost competitiveness. We continue to deepen relationships with a blue-chip customer base comprised of the leading players in wireless communications. And we continue to build capacity and enhance our ability to respond on a timely basis to the anticipated increase in demand for our products. We appreciate your ongoing support.