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.