Business
RF Industries Reports Sales Increase of 17% in First Quarter of Fiscal 2020
Declares Quarterly Cash Dividend of $0.02 per Common Share SAN DIEGO, CA, March 12, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- RF Industries, Ltd, (NASDAQ:
About this update from Rf Industries, Ltd.
[{"type":"text","content":"Declares Quarterly Cash Dividend of $0.02 per Common Share\n SAN DIEGO, CA, March 12, 2020 (GLOBE NEWSWIRE) -- via NEWMEDIAWIRE -- RF Industries, Ltd, (NASDAQ: RFIL), a national manufacturer and marketer of interconnect products and systems, today announced its financial results for the first quarter of fiscal 2020 ended January 31, 2020. First Quarter Fiscal 2020 Highlights and Operating Results: Net sales increased 17% year over year to $12.4 millionNet income was $26,000, or $0.00 per diluted shareNon-GAAP net income was $241,000, or $0.02 per diluted shareAdjusted EBITDA was $471,000Declared $0.02 per share dividend, the Company’s 39th consecutive quarterly dividend Robert Dawson, President and CEO of RF Industries, commented: “Our first quarter is typically our lightest quarter, though we did grow 17% over last year. In addition to the usual seasonal factors, the softer industry-wide spending by wireless carriers contributed to lower project sales than originally expected. Fortunately, our distribution business continues to be diverse and healthy and, while spend from the wireless carriers was extremely light during the quarter, we are seeing signs of improvement in our second quarter. Our bookings have picked up across all divisions and backlog has increased in the second quarter to date. Looking forward, we maintain a solid balance sheet with no debt and a strong cash position. While we are unsure of the full economic impact of the coronavirus and we acknowledge that it may present a short-term speed bump in our growth, we are focused on mitigating the impact. We will continue to execute on our long-term growth plan through active management and strong customer relationships.” First Quarter Fiscal 2020 Results Net sales in the first quarter of fiscal 2020 were $12.4 million, an increase of 17%, or $1.8 million, compared to $10.6 million in the first quarter of fiscal 2019. The year-over-year increase in net sales reflects sales contribution from the Company’s acquisition of Schroff Technologies and C Enterprises. Gross profit for the first quarter was $3.3 million compared to $3.1 million in the first quarter last year. Gross margins were 26.2% of net sales, compared to 29.5% of net sales in the fiscal 2019 first quarter. The decline in margins was primarily due to product mix at the Custom Cabling segment driven by lower...