Commercial and sports stadia sales boost Daktronics' results
Display manufacturer Daktronics had sales of almost $60 million in its most recent quarter.
The company had a net income of $5.2 million or $0.26 per diluted share, compared with $6.7 million, or $0.34 per diluted share, one year ago. The decline was due to the high gross profit percentages achieved last year, which were due to declines in raw materials prices, on-site cost savings and various other factors that are not expected to recur.
"The highlight for the second quarter was the performance of our commercial market; we are up significantly over last year in both orders and sales," said Jim Morgan, president and CEO. "We continue to grow our national account base and continue to experience significant growth in both our Galaxy product line and large video systems.
"In the sports market, our orders for the first two quarters are also up compared to the same period last year, while revenue for that period is even with last year."
Daktronics' revenue this past quarter also included a number of large projects, such as the True North Arena in Winnipeg, the FedEx Forum in Memphis, the Jacksonville Jaguars stadium, the Alamodome in San Antonio and the University of South Dakota.
"In the transportation markets, our sales year-to-date are relatively flat, but our orders are up and we have a nice backlog to work on in the current quarter," said Morgan.
Daktronics recently introduced its new ProTour(TM) LED modular video display system. This product is specifically designed to be used in conjunction with temporary or traveling events, with special construction features that minimize setup and teardown time and cost, and make it easily transportable.
The company expects to divest its portfolio of trailer-mounted video rental displays owned by SportsLink, a wholly owned subsidiary.
Morgan said that Daktronics expects to record net sales in the range of $53 to $58 million during the current quarter, and is targeting total sales for the current fiscal year of between $230 million and $245 million.