Richardson Electronics Ltd. Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended December 1, 2012; Provides Tax Rate Guidance for the Fiscal Year 2013; Declares Quarterly Cash Dividend on Class B Common Stock, Payable on February 22, 2013
January 10, 2013 at 03:25 am IST
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Richardson Electronics Ltd. reported unaudited consolidated earnings results for the second quarter and six months ended December 1, 2012. For the quarter, the company's net sales were $36.6 million, down 6.5% from net sales of $39.1 million during the second quarter of last year reflecting the impact of the uncertainty within the global marketplace. Operating income during was $0.5 million, or 1.4% of net sales, compared to operating income of $1.7 million, or 4.4% of net sales, during the second quarter of last year. Income from continuing operations before income taxes was $609,000 against $2,465,000 a year ago. Income from continuing operations was $0.6 million, or $0.04 per basic and diluted common share, compared to income from continuing operations of $1.6 million, or $0.09 per diluted common share during the second quarter of last year. Net income was $0.4 million, or $0.03 per basic and diluted common share, compared to $0.8 million or $0.04 per diluted common share, during the second quarter of last year. Net cash provided by operating activities was $6,207,000 against $621,000 a year ago. Capital expenditures were $478,000. Sales during the quarter continue to be hurt by slowing growth in Asia combined with global financial instability. The year-over-year decline is also attributable to continuing economic issues impacting European display business.
For the six months, the company's net sales were $72.3 million down 10.4%, compared to net sales of $80.6 million during the first six months of last year. Operating income was $1.0 million, or 1.4% of net sales, compared to $3.7 million, or 4.6% of net sales, during the first six months of last year. Income from continuing operations before income taxes was $1,553,000 against $4,069,000 a year ago. Income from continuing operations was $1.3 million, or $0.08 per diluted common share, compared to income from continuing operations of $2.7 million, or $0.15 per diluted common share, during the first six months of last year. Net income was $1.0 million or $0.06 per diluted common share compared to $4.5 million or $0.25 per diluted common share, during the first six months of last year. Net cash provided by operating activities was $2,874,000 against net cash used in operating activities of $46,998,000 a year ago. Capital expenditures were $557,000 against $74,000 a year ago.
The company provided tax rate guidance for the fiscal year 2013. For the year the company expected tax rate for fiscal 2013 to be just under 20%.
The company announced that its Board of Directors declared a $0.06 dividend per share to all holders of common stock and a $0.054 cash dividend per share to all holders of Class B common stock. The dividend will be payable on February 22, 2013, to all common stockholders of record on February 8, 2013.
Richardson Electronics, Ltd. is a manufacturer of engineered solutions, power grid and microwave tubes and related consumables; power conversion and radio frequency and microwave components; high-value replacement parts, tubes and service training for diagnostic imaging equipment, and customized display solutions. The Company's segments include Power and Microwave Technologies, Green Energy Solutions, Canvys and Healthcare. Healthcare segment manufactures, repairs, refurbishes and distributes high value replacement parts and equipment for the healthcare market, including hospitals, medical centers, asset management companies and others. The Canvys segment provides customized display solutions serving the corporate enterprise, financial, healthcare, industrial and medical original equipment manufacturers markets. Its products include electron tubes and related components, microwave generators, subsystems used in semiconductor manufacturing and visual technology solutions.
Richardson Electronics Ltd. Reports Unaudited Consolidated Earnings Results for the Second Quarter and Six Months Ended December 1, 2012; Provides Tax Rate Guidance for the Fiscal Year 2013; Declares Quarterly Cash Dividend on Class B Common Stock, Payable on February 22, 2013