NEWS: CPCI Q1 Results: Ciprico Announces First Quarter Sales and Earnings Results
MINNEAPOLIS, Jan. 28 /PRNewswire/ -- Ciprico Inc. (Nasdaq: CPCI) today announced results for the first quarter ended December 31, 1997. Sales decreased 16% to $7.3 million, compared to $8.6 million for the same period last year. Net earnings for the quarter were $525,000 or 10 cents per share fully diluted, compared to $1,138,000 or 21 cents per share fully diluted for the same period last year.
"The first quarter product mix shifted towards more 6900 Series disk arrays instead of the anticipated mix of Fibre Channel (7000) and 6500 Series products, resulting in unshipped orders and a shortfall to our financial results," said Robert H. Kill, Ciprico President and CEO. "We ended the quarter with a backlog of orders larger than usual and growing sales momentum in our primary markets." Kill went on to say, "Management's belief in the Company's growth is reflected in our recently announced stock buyback program, where shares of our own stock are being purchased as a good investment."
Certain statements in this news release are forward looking and should be read in conjunction with cautionary statements in the Company's SEC filings, reports to shareholders and other news releases. The Company's quarterly and annual operating results are affected by a wide variety of factors, including fluctuating backlog levels, competitive market conditions, the ability or inability to ship a large percentage of orders during the last month or weeks of the quarter, and component cost and availability. The Company's actual results could differ materially from those expressed in forward-looking statements.
Ciprico Inc., an ISO certified company, designs, manufactures, markets and services disk arrays for the high-performance imaging and digital media markets. The Company's products are sold worldwide to technical, scientific and creative professionals who require high performance, capacity and fault tolerance from their storage. Additional Information about Ciprico can be obtained through the Internet on www.ciprico.com.
CIPRICO INC.
CONSOLIDATED STATEMENT OF EARNINGS
(Unaudited)
(Dollars in thousands except
per share amounts)
Three Months Ended
December 31
1997 1996
NET SALES $7,260 $8,596
Cost of sales 3,684 4,455
GROSS PROFIT 3,576 4,141
Sales and marketing expenses 1,788 1,593
General and administrative expenses 631 629
Research and development expenses 879 726
EARNINGS FROM OPERATIONS 278 1,193
Other income, primarily interest 517 594
EARNINGS BEFORE INCOME TAXES 795 1,787
Income tax expense 270 649
NET EARNINGS $525 $1,138
NET EARNINGS PER COMMON SHARE - BASIC $.10 $.23
NET EARNINGS PER COMMON SHARE - DILUTED $.10 $.21
Shares used to calculate net earnings
per common share:
Basic 5,137 5,018
Diluted 5,383 5,422
CIPRICO INC.
CONSOLIDATED BALANCE SHEETS
(Unaudited)
(in thousands)
December 31, September 30,
1997 1997
ASSETS
CURRENT:
Cash and cash equivalents $4,610 $4,512
Marketable securities 24,722 24,807
Accounts receivable, less allowance 6,525 5,152
Inventories 4,469 4,354
Deferred income taxes 788 788
Other current assets 874 809
Total current assets 41,988 40,422
Property and equipment, net 4,237 3,948
Marketable securities 7,499 7,483
Other assets 281 252
Total assets $54,005 $52,105
LIABILITIES AND SHAREHOLDERS' EQUITY
CURRENT:
Accounts payable $3,568 $2,285
Accrued expenses 1,165 1,242
Deferred revenue 565 520
Total current liabilities 5,298 4,047
SHAREHOLDERS' EQUITY:
Capital stock 51 51
Additional paid-in capital 39,441 39,316
Retained earnings 9,215 8,691
Total shareholders' equity 48,707 48,058
Total liabilities and
shareholders' equity $54,005 $52,105
SOURCE Ciprico Inc.
CO: Ciprico Inc.
ST: Minnesota
IN: CPR
SU: ERN
01/28/98 08:01 EST prnewswire.com |
