DATAKEY REPORTS SECOND QUARTER RESULTS
DATAKEY REPORTS SECOND QUARTER RESULTS MINNEAPOLIS, July 28 /PRNewswire/ -- Datakey, Inc.
(NASDAQ-NMS: DKEY) today reported total revenue for the second quarter ended June 26, 1992, of $1,559,797, compared with $2,054,097 in the second quarter of 1991. Net income for the quarter was $121,664, or 4 cents per share, versus $430,498, or 13 cents per share, last year.
Revenue for the six-month period ended June 26, 1992, was $3,101,971 compared to $4,132,107 for the 1991 period. Net income for the six- month period ended June 26, 1992, was $283,795, or 9 cents per share, versus $793,776, or 24 cents per share, last year. Chairman and chief executive officer, John Underwood, said, "Datakey's second-quarter revenue and earnings were comparable to those of the first quarter but remained well below results for the same period last year. The revenue decline stems from a combination of factors including the sluggish economy, which has limited new orders from our key customers, and a continued decline in key shipments for the government's secure telephone program. "While second-quarter results are in line with our expectations, we had projected conditions to improve in the second half. Based on current forecasts, however, it now appears that sales will remain soft for the balance of 1992, resulting in significantly lower sales and earnings for the year." Underwood added, "The company is currently pursuing several strategies to revitalize its core business and is also exploring other ways to improve its long-term financial performance. At this point, we expect sales and earnings for the balance of 1992 to yield break-even results at best and are forecasting modest profitability for the year. Datakey's entire management team and staff are focused on increasing the company's revenues and we have sufficient cash to support this effort." Datakey, Inc. designs, produces and markets specialty-class portable data carriers in the form of keys, cards and custom-shaped devices to OEMs in an application-oriented marketplace. These small, semiconductor-memory-based portable devices serve as a convenient way to provide machine-readable electronic information for use in a variety of microprocessor-based equipment. The company's portable data devices are packaged to withstand the adverse elements found in transportable human environments. Datakey also designs, produces and markets supporting peripheral equipment for these portable data carriers. Shares of Datakey's common stock are traded on the NASDAQ/NMS market under the symbol DKEY. DATAKEY, INC. CONDENSED STATEMENTS OF INCOME (Unaudited) ($000s) Second Quarter Ended Six Months Ended 6/26/92 6/28/91 6/26/92 6/28/91 Total revenue $1,560 $2,054 $3,102 $4,132 Costs and expenses: Cost of sales 880 885 1,603 1,793 Research and development 234 215 503 518 Sales and marketing 237 215 446 481 General and administrative 120 230 313 435 Total costs and expenses 1,471 1,545 2,865 3,227 Operating income 89 509 237 905 Interest income & other 87 139 193 287 Net income before taxes 176 648 430 1,192 Provision for taxes 54 218 146 398 Net income $122 $430 $284 $794 Earnings per share $.04 $.13 $.09 $.24 Weighted average common shares 3,053,716 3,290,455 3,126,745 3,295,262 SELECTED BALANCE SHEET DATA (Unaudited) ($000s) 6/29/92 12/31/91 Assets: Cash and marketable securities $8,237 $9,616 Other current assets 1,804 1,770 Non current assets 830 811 Total assets 10,871 12,197 Liabilities and Equity Current liabilities 479 846 Other liabilities 52 52 Equity 10,340 11,299 Total liabilities and equity $10,871 $12,197 -0- 7/28/92 /CONTACT: Alan Shuler of Datakey, 612-890-6850 or Marian Briggs of Padilla Speer Beardsley, 612-871-8877, for Datakey/ (DKEY) CO: Datakey, Inc. ST: Minnesota IN: CPR SU: ERN
DS -- MN017 -- 4248 07/28/92 16:30 EDT
|Printer friendly Cite/link Email Feedback|
|Date:||Jul 28, 1992|
|Previous Article:||INVESTORS SAVINGS DECLARES QUARTERLY CASH DIVIDEND|
|Next Article:||STERLING SAVINGS REPORTS EARNINGS|