Printer Friendly

DATA SWITCH REPORTS FIRST QUARTER PROFIT

 SHELTON, Conn., April 21 /PRNewswire/ -- Data Switch Corporation (NASDAQ: DASW) today announced a first-quarter profit on improved revenues and a substantial backlog going into the second quarter.
 Earnings for the period ended March 31, 1993, were $749,000, or $.06 per share, versus a net loss of $2,532,000, or $.21 per share, in 1992. Revenues were $23,238,000, up 16 percent from $20,063,000 in last year's first quarter.
 Data Switch President and Chief Executive Officer J. Roger Moody commented: "We are pleased to report our fourth consecutive profitable quarter, despite the general slowdown affecting some large computer makers. Our revenue levels have begun to rise, as domestic revenues -- particularly large orders -- were up considerably. International revenues continued to be weak because of the European recession."
 "Backlog at the beginning of the second quarter was over $17 million, which compares favorably to the $5.3 million backlog of a year ago and the $12 million backlog going into 1993. The current backlog includes new products, the success of which is critically important to the company's future. It also includes our recent $5.6 million contract with BDM for the Air Force Logistics Centers, for which shipments are expected to begin in the second quarter." Mr. Moody added that the Distributed Director System, a wide-area networking product, is meeting with greater-than-expected customer acceptance.
 "Gross profit margins for the quarter were better than last year's largely because of improved manufacturing efficiencies," Mr. Moody continued. "This, combined with significantly lower administrative expenses, led to a healthy profit for the period."
 "Our balance sheet continues to be sound. Inventories increased because of initial new product shipments and purchases for anticipated shipments of new products."
 "In March, we arranged for a new $8 million credit agreement with People's Bank to replace our prior facility, none of which has yet been borrowed. We also prepaid the small remaining balance on our 15 percent bonds."
 Looking ahead, Mr. Moody said: "We are beginning to reap the benefits of the operational improvements and product-development efforts made in 1992. Although we're proud of our progress, we still have work to do. We will continue our efforts to reposition the company in its markets through additional new products and alliances."
 Data Switch makes and markets products for ensuring availability of high-performance computer networks. Current products lines include switching systems, channel extenders, ESCON(TM) migration products, wide-area networking systems, and control systems.
 DATA SWITCH
 Summary of Operations
 (000's except per share date)
 Three months ended March 31, 1993 1992
 Revenues $23,238 $20,063
 Cost of goods sold 12,266 10,881
 Gross profit 10,972 9,182
 Operating expenses 9,328 10,813
 Goodwill amortization 43 43
 Other expenses, net 469 952
 Pre-tax income (loss) 1,132 (2,626)
 Provision for (benefit from) taxes 383 (94)
 Net income (loss) 749 (2,532)
 EPS 0.06 (0.21)
 Average shares outstanding 12,280 11,963
 Balance Sheet
 (000's)
 Period ended 3/31/93 12/30/92
 Cash $ 896 $ 2,208
 Receivables 17,748 18,603
 Inventories 22,000 20,008
 Other current assets 1,246 1,065
 Total current assets 41,890 41,884
 Property and equipment 6,372 6,177
 Goodwill 2,467 2,640
 Other 6,096 6,113
 Total assets 56,825 56,814
 Short-term debt 30 771
 Other current liabilities 13,221 13,327
 Total current liabilities 13,251 14,098
 Long-term debt 21,249 21,240
 Shareholders' equity 22,325 21,476
 Total Liabilities and shareholders' equity 56,825 56,814
 -0- 4/21/93
 /CONTACT: Linda Bachmann, director - corporate communications of Data Switch, 203-926-1801/
 (DASW)


CO: Data Switch Corporation ST: Connecticut IN: CPR SU: ERN

SH-LR -- NY021 -- 8591 04/21/93 10:05 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 21, 1993
Words:623
Previous Article:ULTRAMAR CORPORATION REPORTS FIRST QUARTER 1993 EARNINGS; BOARD DECLARES QUARTERLY DIVIDEND
Next Article:WITCO REPORTS RECORD SALES FOR FIRST QUARTER 1993
Topics:


Related Articles
DATA SWITCH REPORTS FOURTH-QUARTER PROFIT
DATA SWITCH POSTS FIRST-QUARTER LOSS
DATA SWITCH REPORTS SECOND QUARTER PROFIT
DATA SWITCH POSTS THIRD-QUARTER PROFIT
DATA SWITCH: TIMING OF PRODUCT SHIPMENTS CAUSES FOURTH QUARTER REVENUES TO SLIP BELOW TARGET, BUT ORDERS EXCEED TARGET, CREATING LARGE BACKLOG
DATA SWITCH POSTS FIFTH CONSECUTIVE PROFITABLE QUARTER; REPORTS GROWING ACCEPTANCE OF NEW PRODUCTS
DATA SWITCH REPORTS THIRD QUARTER RESULTS
DATA SWITCH REPORTS FIRST-QUARTER PROFIT
ODS Networks, Inc. Announces First Quarter Results.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters