Test measurement and monitoring company reports another profitable quarter, but foresees a short-term sales drop in a 'challenging market'
Tektronix has reported net sales of $208.5 million and net earnings from continuing operations, before non-recurring items, of $12.2 million or $0.13 per share, for the fourth quarter of fiscal year 2002, ending 25 May 2002.
This compares with sales of $305.1 million and net earnings from continuing operations, before non-recurring items, of $34.6 million or $0.37 per share, for the same period last year.
Including non-recurring items, net income from continuing operations for the fourth quarter of fiscal year 2002 was $4.8 million or $0.05 per share, as compared with $35.0 million or $0.37 per share, for the same period a year ago.
For the fiscal year 2002, the company reported sales of $843.3 million, compared to sales of $1.235 billion in fiscal 2001.
Net earnings from continuing operations, before non-recurring items, were $47.5 million, or $0.51 per share, compared to net earnings from continuing operations of $132.3 million, or $1.38 per share, excluding non-recurring items for fiscal 2001.
Tektronix' consolidated net earnings from continuing operations for fiscal 2002, including non-recurring items, were $30.5 million, or $0.33 per share, compared to $140.1 million, or $1.46 per share for fiscal year 2001.
"Our ability to deliver profits this year given the extreme difficulties in the technology marketplace differentiates Tektronix", said Rick Wills, Tektronix's chairman and CEO.
"We developed a strategy for navigating through the downturn that emphasised the preservation of key investments, and a surgical approach to cost management that allowed us to execute new product introduction plans and deliver profits every quarter. We delivered on each of our objectives, and are well positioned in our market to emerge stronger." "In the fourth quarter, we introduced a number of major new products that have been well received in the marketplace, including the TDS1000 and TDS2000 Series, a new benchmark for performance and ease of use for low-cost, colour oscilloscopes.
We also introduced the first silicon-germanium logic analyser, the TLA7Axx, which is not only the world's fastest logic analyser but also incorporates a breakthrough connectorless probing system that enables engineers to test analogue and digital designs with unprecedented speed, increased accuracy and reduced cost", continued Wills. "We reinforced our commitment to expand our presence in the optical communications test market with the introduction of several new optical products and the acquisition of Profile Optische Systeme GmbH, a technology leader in optical parametric test." For the first quarter of fiscal 2003, the company expects sales to be down 10%-12% over the same period a year ago. Operating margins are expected to be in the low-single digits. "The markets remain challenging and we are not expecting significant market improvements in this calendar year.
However, we are well positioned with new category-leading products, the strongest distribution network in the industry and continued strategic investments.
As a management team, we have demonstrated diligence in managing operations to deliver results while maintaining and enhancing our investments in our future", concluded Wills.
