NEWPORT ANNOUNCES FINANCIAL RESULTS FOR FISCAL 1992
NEWPORT ANNOUNCES FINANCIAL RESULTS FOR FISCAL 1992 IRVINE, Calif., Sept. 23 /PRNewswire/ -- Newport Corp.
(NASDAQ: NEWP) today reported losses for the fourth quarter and fiscal year ended July 31, 1992.
For the year, the net loss amounted to $14,240,000, equal to $2.04 per share, compared with net income of $3,533,000, or 50 cents per share, in fiscal 1991. The company announced at the end of its third quarter a program to restructure operations and substantially lower its costs. As a result, Newport incurred a one-time $13.8 million restructuring charge in that period. In addition, the company recorded a $7.1 million increase in goodwill to reflect the effects of the restructuring on the carrying values assigned to the net assets of the micro-positioning operations of Micro-Controle, S.A. acquired last year. Excluding the restructuring charge, the net loss for the past year was $2,550,000, equal to 37 cents per share, primarily as a result of continued weakness in domestic and international revenues. Revenues for fiscal 1992 totaled $87,801,000, of which $34,910,000 resulted from the Micro-Controle acquisition. In the previous year, the company's revenues were $59,724,000, including $1,553,000 from the Micro-Controle acquisition. For the fourth quarter, the net loss was $1,943,000, equal to 28 cents per share, compared with net income of $967,000, or 14 cents per share, one year earlier. Fourth quarter revenues were $20,929,000, of which $8,626,000 resulted from the Micro-Controle acquisition. In last year's fourth quarter, revenues were $15,383,000, of which $1,553,000 resulted from the Micro-Controle acquisition. Richard E. Schmidt, chairman and chief executive officer, said: "During the past year, our business continued to reflect very difficult conditions in both domestic and international markets. Revenues remained weak in an environment characterized by reductions in defense budgets and pressure on funding for scientific research. As a result of the acquisition and the restructuring program, our costs and expenses increased very substantially in the past year. "We are restructuring operations and refocusing the company on a worldwide basis in order to improve profitability in future quarters. Our restructuring program has the objectives of reducing our cost structure, developing promising new markets and strengthening our capability to provide timely and high-quality service to our customers throughout the world. We are closing or consolidating facilities, reducing the workforce, cutting general spending and eliminating non-productive assets and certain marginal products and product lines. "Good progress has been made in the restructuring, and we expect the process to be substantially completed by the end of calendar year 1992, with full completion during 1993. Benefits will be realized over a period of time as various phases of the program are implemented. After full completion, our objective is to have reduced annual costs and expenses by more than $10 million. The restructuring will also lower annual revenues by approximately $5 million. "Conditions remain difficult, but we believe Newport has many opportunities. Our focus is on the development of attractive niche markets. In this effort, we're leveraging on our command of core technologies, especially motion control for micro-positioning. While strengthening our leading position in the research laboratory, we are working to broaden our industrial business in many applications tied directly to high technology, high-growth industries. All of these efforts are directed at returning the company to profitability at an early date and setting the stage for a sustained financial recovery." Newport Corp. is a leading worldwide manufacturer and marketer of precision laboratory equipment for scientists and engineers who develop and apply technology involving lasers and optics. The Micro- Controle acquisition further enhances Newport's precision positioning capabilities for high technology industries including semiconductor manufacturing, telecommunications and analytical instrumentation. Customers include Fortune 500 corporations, national research laboratories, government and educational institutions. NEWPORT CORP. Consolidated Financial Highlights (Amounts in thousands, except per share) Quarter ended July 31, 1992 1991 Net sales $20,929 $15,383 Net income (loss) (1,943) 967 Earnings (loss) per share ($0.28) $0.14 Weighted average common and equivalent shares 6,966 7,031 Fiscal year ended July 31, 1992 1991 Net sales $87,801 $59,724 Net income (loss) (14,240) 3,533 Earnings (loss) per share ($2.04) $0.50 Weighted average common and equivalent shares 6,966 7,050 -0- 9/23/92 /CONTACT: Robert C. Hewitt, senior VP-finance of Newport, 714-253-1405/ (NEWP) CO: Newport Corp. ST: California IN: CPR SU: ERN
JB-AL -- LA016 -- 2711 09/23/92 14:17 EDT
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|Date:||Sep 23, 1992|
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