Business
Richardson Electronics Provides FY23 Q3 Business Update
Preliminary FY23 Q3 net sales estimated to exceed $70 million, an increase of 27% over the prior year third quarter, subject to final reviewPreliminary
About this update from Richardson Electronics, Ltd.
[{"type":"text","content":"Preliminary FY23 Q3 net sales estimated to exceed $70 million, an increase of 27% over the prior year third quarter, subject to final reviewPreliminary backlog is estimated to be $175.1 millionPreliminary operating income is estimated to be $7.6 million subject to final review, or 10.8% of net sales, an increase of 110% over the prior year quarter LAFOX, Ill., March 21, 2023 (GLOBE NEWSWIRE) -- Richardson Electronics, Ltd. (NASDAQ: RELL) today announced preliminary results for its third quarter ended February 25, 2023, in conjunction with the Company’s presentation at the Sidoti & Company Virtual Small-Cap Investor Conference on Thursday, March 23, 2023. The Webinar link is https://sidoti.zoom.us/webinar/register/WN_8E3Af1CmRfu8G0EXT6A1kA and the presentation is available on the Company’s investor relations website at https://www.rell.com/investor-relations. Preliminary fiscal year 2023 third-quarter net sales are expected to exceed $70 million, subject to final review, representing a 27% increase from the prior year’s third quarter. Revenue increased across the Company’s Green Energy Solutions, Power and Microwave Technologies, and Canvys business units from the same period a year ago due to strong end-market demand and successful growth initiatives. Preliminary backlog is expected to be approximately $175.1 million, which is down from $192.6 million at the end of the second quarter, and stable from the third quarter a year ago. Management expects operating income to increase 110% to $7.6 million subject to final review, or 10.8% of net sales, compared to $3.6 million, or 6.6% of net sales for the same period last year. “Third quarter was another record sales quarter with high growth generated throughout most of our business units, which translated into robust operating income,” said Edward J. Richardson, Richardson Electronics’ Chief Executive Officer. “Sales to our semiconductor wafer fabrication equipment customers and our Green Energy Solutions group were particularly strong. Backlog remains stable but was down from the second quarter primarily associated with lower orders from semiconductor customers. Backlog in our Green Energy Solutions business increased 87.2% over the same period a year ago and was up 3.4% from second quarter levels. We look forward to sharing our full financial results when we release third-quarter re...