EARNINGS, SHARES UP AT CALAMP DBS DEMAND ON RISE.Byline: Evan Pondel Staff Writer CAMARILLO - Shares of California Amplifier soared 43 percent Friday, after the satellite-products manufacturer said its third-quarter earnings would be better than expected. California Amplifier shares rose $2.96, to close at $9.90 on the Nasdaq market. Officials for the Camarillo-based company said they now expected earnings in the range of 13 cents to 17 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. on revenue of $41 million to $44 million. Last month, the company forecast earnings of 7 cents to 12 cents per share on revenue of $30 million to $36 million. ``Certainly, this is a surprise,'' said Dave Kang, analyst with Roth Capital Partners Roth Capital Partners, LLC, is a full service Investment Banking firm, specializing in the small and micro cap markets. Roth’s focus, according to its official website, "has been, is, and will continue to be providing the full spectrum of investment banking services, in Newport Beach Newport Beach, residential and resort city (1990 pop. 66,643), Orange co., S Calif., on Newport Bay and the Pacific Ocean; inc. 1906. It is a popular seaside resort and yachting center. Manufactures include electrical and medical equipment, computers, boats, and adhesives. . ``I'm still maintaining my neutral rating on the company because this shows that California Amplifier has a real lack of visibility.'' CalAmp increased its third-quarter guidance after seeing strong demand for its Data Broadcast Satellite products. The company designs microwave equipment that is utilized in conjunction with satellite television, wireless voice and broadband data applications. ``An improving economy, aggressive promotions by U.S. DBS (Direct Broadcast Satellite) A one-way TV broadcast service from a communications satellite to a small round or oval dish antenna no larger than 20" in diameter. service providers, and California Amplifier's strong market position have all contributed to robust shipments,'' Fred Sturm, the company's president and chief executive officer, said in a statement. Despite the company's expectations, analysts still remain skeptical of the satellite TV industry as cable giants launch a counterattack Attacking an attacker. Even though a criminal hacker or other agent is attempting to penetrate a security perimeter or damage systems, the counterattack must not violate applicable laws. to recapture recapture n. in income tax, the requirement that the taxpayer pay the amount of tax savings from past years due to accelerated depreciation or deferred capital gains upon sale of property. (See: income tax) RECAPTURE, war. market share. Kang said he would consider reviewing his stance ``if and when (CalAmp) wireless business shows meaningful traction Traction Definition Traction is the use of a pulling force to treat muscle and skeleton disorders. Purpose Traction is usually applied to the arms and legs, the neck, the backbone, or the pelvis. .'' The fall season generally bodes well for the company's television satellite business, as football and the holidays ratchet up demand. The company's stock has also seen a strong surge since September, gaining about 100 percent. Kang said the stock did tremendously well after the company delivered strong second-quarter results early in October. CalAmp reported net income of $390,000, or 3 cents a share, for the second quarter. That figure compares with a net loss of $1.1 million, or 7 cents a share, reported for the same period a year ago. What concerns Kang is the 10 percent decline in network additions for Echostar's Data Broadcast Satellite business in 2003. He said the slowdown could affect CalAmp's business, ``and we believe cable operators will continue to increase content and other services, such as video on demand,'' Kang said in an analyst note. CalAmp is also in the middle of a strong inventory replenishment replenishment the addition of an appropriate quantity of properly prepared solution containing the correct concentration of chemicals to the developer solutions used in radiography. cycle, another factor to consider when gauging the company's overall performance, Kang said. CalAmp experienced some turbulence turbulence, state of violent or agitated behavior in a fluid. Turbulent behavior is characteristic of systems of large numbers of particles, and its unpredictability and randomness has long thwarted attempts to fully understand it, even with such powerful tools as last summer when the company announced it had laid off 55 workers and released all of its 225 contract employees. At the time, the company decided to consolidate its two Wisconsin factories into a single site. The job cuts were linked to a drop in satellite orders. Evan Pondel, (818) 713-3662 evan.pondel(at)dailynews.com |
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