- Revenues: $12,600,000
- Gross Profit: $ 2,350,000
- Net Income : ($236,000)
- EPS ($0.03)
ATLANTA, July 16, 2013 (GLOBE NEWSWIRE) -- Video Display Corporation (Nasdaq:VIDE), a leading innovative American designer, manufacturer and distributor of specialty high end displays, today released financial results for its fiscal 2014 first quarter ended May 31, 2013.
Operating results for the first quarterly reporting period were in line, to slightly less, than Company expectations, and less than the comparative results of the first quarter of the previous year. Earnings results continued to be negatively impacted by the start-up expenses of the two new display divisions, Aydin Visual Solutions and Aydin CyberSecurity, as well as approximately $180,000 in interest rate penalties being assessed by PNC Bank on the Company's outstanding line of credit. Revenues, and therefore gross margins, continued to be negatively impacted by delays in shipments on defense contracts by our VDC Display Systems division.
Gross margins were substantially impacted, although overall net revenues remained slightly higher than the comparable period, due to the reduction higher margin revenues at the Company's Z-Axis Inc subsidiary and an offsetting increase in revenues of lower margin products at our AVS (Aydin Visual Solutions) division.
Ron Ordway, CEO, stated: "Based upon our first quarter results, although slightly less than previously forecast, the Company still remains confident that per share earnings for this fiscal year will be substantially greater than the results reported for the previous fiscal year. With our current backlog of existing orders and the potential contracts currently in the bidding process, we believe guidance for the current year revenue should be in the range of $55 million to $60 million resulting in earnings per share in the range of $0.52 to $0.58 versus $49 million in revenue and negligible earnings for the previous year."
About Video Display Corporation
Video Display Corporation designs, develops and manufactures unique solutions for display requirements for military, medical and industrial use with emphasis on high end training and simulation applications. Its product offerings include rugged AMLCD and CRT displays as well as complete projection systems utilizing VDC's Marquee™ line of projectors. Video Display Corporation operates 8 display design and manufacturing plants plus additional sales facilities throughout the United States and Europe.
This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, from time to time, Video Display Corporation or its representatives have made or may make forward-looking statements, orally or in writing. Such forward-looking statements may be included in, but are not limited to, various filings made by the Company with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of the Company. Actual results could differ materially from those projected or suggested in any forward-looking statements as a result of a wide variety of factors and conditions, including items discussed in the Company's Form 10-K for the year ended February 28, 2013, filed with the Securities and Exchange Commission. The Company undertakes no duty to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.
|Three Months Ended|
|Cost of goods sold||10,250||8,950|
|Selling and delivery||1,257||1,409|
|General and administrative||1,678||2,028|
|Other income (expense)|
|Income from operations before income taxes||(398)||189|
|Income tax expense||(162)||30|
|Basic earnings per share of common stock||$(.03)||$.02|
|Diluted earnings per share of common stock||$(.03)||$.02|
|Basic weighted average shares outstanding||7,584||7,580|
|Diluted weighted average shares outstanding||7,624||7,605|
CONTACT: Ronald D. Ordway, Chairman and CEO 770-938-2080Source:Video Display Corporation