Optical Cable announced Friday that its financial results for its second fiscal quarter, which ended April 30, 2012, show impressive growth compared to the same period in fiscal year 2011. OCC increased net sales, gross profit, and net income for both the quarter and year-to-date periods.
Second Quarter 2012 Financial Results
OCC’s consolidated net sales for the second quarter of fiscal year 2012 were the highest in OCC’s history. Net sales increased an impressive 28.3% to $22.1 million, compared to the $17.2 million mark for the same period last year. Increased sales of the OCC’s fiber optic cable products are primarily responsible for this growth of net sales.
Net sales to customers in the United States increased 20.5% and 56.3% outside of the United States, compared to the same period in the previous year. In addition, net sales increased in both the commercial and specialty markets, relative to the second quarter of fiscal year 2011.
Gross profit swelled 49.1% to $8.9 million, relative to $5.9 million in the second quarter of fiscal year 2011. This resulted in a 40.2% growth in gross profit margin in the second quarter of fiscal 2012 from 34.6% in the second quarter of fiscal year 2011.
OCC recorded net income attributable to the company of $949,000, or $0.15 per basic and diluted share, for the second quarter of fiscal 2012, compared to a net loss attributable to the Company of $90,000, or $0.02 per basic and diluted share, for the second quarter of fiscal 2011.
Fiscal Year-to-Date 2012 Financial Results
Consolidated net sales for the first half of fiscal 2012 increased 12.9% to $39.4 million, compared to net sales of $34.9 million for the same period last year. As previously stated, the increase in net sales during the first half of fiscal 2012 can be mainly attributed to increased sales of the company’s fiber optic cable products.
Net sales to customers in the United States increased 10.3% in the first half of fiscal year 2012 and net sales to customers outside of the United States increased 20.4%, compared to the same period last year. Additionally, the company achieved an increase in net sales during the first half of fiscal year 2012 in its commercial markets, but this increase was partially offset by decreases in net sales in its specialty markets.
Gross profit increased 21.4% to $15.0 million in the first half of fiscal 2012, compared to $12.4 million in the first half of fiscal 2011. Gross profit margin increased to 38.1% in the first half of fiscal 2012 from 35.4% in the first half of fiscal 2011.
OCC recorded net income attributable to the company of $1.1 million, or $0.18 per basic and diluted share, for the first half of fiscal year 2012, compared to $312,000, or $0.05 per basic and diluted share, for the same period in fiscal year 2011.
Management’s Comments
Neil Wilkin, President and Chief Executive Officer of OCC, said, “We are pleased to have established a new record for net sales in our second quarter. Our record results reflect OCC’s success winning new business. We particularly are encouraged by increased demand for our fiber optic cable products, which at this time we expect will continue in the second half of fiscal 2012.”
Mr. Wilkin added, “Our balance sheet is strong and we continue to return capital to shareholders through the regular quarterly dividend, which the Board increased during the first quarter of this year. We expect the remainder of fiscal 2012 to continue to be characterized by sales and earnings growth for OCC when compared to the same periods in fiscal 2011, as we continue executing our growth strategy and working to improve operations and efficiencies, to create value for shareholders.”
For further information, please visit www.occfiber.com
About MissionIR
MissionIR is committed to connecting the investment community with companies that have great potential and a strong dedication to building shareholder value. We know our reputation is based on the integrity of our clients and go to great lengths to ensure the companies represented adhere to sound business practices.
Sign up for “The Mission Report” at www.MissionIR.com
Please see disclaimer on the MissionIR website http://www.missionir.com/disclaimer.html
