Message #10 From:
NewsBot Date: November 13, 2006 01:37:00 PM
API News Advanced Photonix, Inc. Reports Second Quarter Fiscal 2007 Results
ANNARBOR, Mich.--(BUSINESS WIRE)--Advanced Photonix, Inc.® (AMEX:API)
(the “Company”)
today reported its second quarter fiscal 2007 results.
Revenues for the second quarter of fiscal 2007 ended September 29, 2006
were $5.9 million, an increase of $700,000, or 13%, compared to revenues
of $5.2 million for the quarter ended September 25, 2005. The Company
reported a net loss calculated in accordance with generally accepted
accounting principles in the U.S. ("GAAP") basis of $1.1 million, or
$.06 per share fully diluted, for the quarter, compared with a GAAP net
loss of $1.6 million, or $0.09 per share fully diluted, for the second
of 2006.
The growth in revenues in the second quarter was primarily due to
substantial growth in telecommunications, which was driven by its
high-speed optical receiver (“HSOR”)
product platform. Telecommunications market revenues were $1.761
million, an increase of 91% (or $841,000) over 2006 revenues of $920,000
and an increase of 137% over first quarter 2007 telecommunication
revenues.
The $500,000 improvement in GAAP net loss in the second quarter was
primarily attributable to an increase in gross margins due to product
mix. Cost of sales for the current quarter were $3.0 million, or 51% of
sales, as compared to $3.1 million, or 59% of sales, for the comparable
quarter a year ago, As a result, gross profit increased to $2.9 million,
or 49% of sales, for the second quarter of fiscal 2007, from $2.1
million, or 40.7% of sales, for the second quarter of 2006, an increase
of $800,000 (or 38%).
Revenues for the six months ended September 29, 2006 were $11.5 million,
an increase of $1.3 million, or 12%, over the comparable revenues of
$10.3 million for the six months ended September 25, 2005, due to
substantial growth in the telecommunications, industrial sensing/NDT and
military/aerospace markets. The Company reported a GAAP net loss of $2.4
million, or $0.12 per share fully diluted, for the six months ended
September 29, 2006, as compared with a GAAP net loss of $1.9 million, or
$0.11 per share fully diluted, for the six months ended September 25,
2005.
The pro forma net loss for the second quarter of fiscal 2007 was
$113,000, or $0.01 per share fully diluted, compared to a pro forma net
loss of $399,000 or $0.02 per share fully diluted, for the comparable
period a year ago. Pro forma net income for the six month period ended
September 29, 2006 was a loss of $400,000 or $0.02 per share fully
diluted, as compared to a Proforma net loss of $172,000, or $0.01 per
share fully diluted, for the period ended September 25, 2005.
Pro forma net income is considered non-GAAP financial information, and a
reconciliation of non-GAAP financial measures used in this press release
to the GAAP financial measures can be found in the Reconciliation of Pro
Forma Income to GAAP Income financial schedule, included on page four of
this press release.
On an EBITDA basis (which is defined as GAAP earnings before interest,
taxes, depreciation, and amortization), the Company reported a net
profit of $82,000 for the second quarter of 2007. This compares to a net
loss of $24,000 for the for the second quarter of 2006. A reconciliation
of EBITDA to GAAP Income can also be found on page four of this press
release.
Richard Kurtz, Chairman and Chief Executive Officer, commented, "We are
pleased with the results of the second quarter, especially in the growth
of our telecommunications market. Overall, we met our revenue growth
targets for the quarter and are ahead of our gross margin expectations.
While we continue to be disappointed in the speed at which the
Transportation Security Administration (TSA) is developing and deploying
the next generation technologies for Homeland security, we are actively
engaged in non-destructive testing application development for other
markets, and in the development of next generation terahertz systems.
These next generation systems will provide the foundation for further
expansion in homeland security, aerospace, military and industrial
quality control markets, and we believe will pay dividends in the coming
years. We continue to hold to our previously announced revenue guidance
of $27 million to $28 million, or approximately 15% to 20% revenue
growth, for fiscal 2007.”
The Company will hold a conference call to discuss the results for the
second quarter ended September 29, 2006 on Monday, November 13, 2006, at
5:00 PM EST. Participants can dial into the conference call at
866-314-4865 (617-213-8050 for international) using the pass code
13595880. The call will be webcast live by CCBN and can be accessed at
Advanced Photonix’s web site at http://investor.advancedphotonix.com/
or at www.earnings.com. An audio
replay of the call will be available shortly thereafter the same day and
will remain on-line for two weeks. The replay number is 888-286-8010
(617-801-6888 for international) using passcode 52828284.
The information contained herein includes forward looking statements
that are based on assumptions that management believes to be reasonable
but are subject to inherent uncertainties and risks including, but not
limited to, risks associated with the integration of newly acquired
businesses, technological obstacles which may prevent or slow the
development and/or manufacture of new products, limited (or slower than
anticipated) customer acceptance of new products which have been and are
being developed by the Company and a decline in the general demand for
optoelectronic products.
The Company provides pro forma Net Income and EBITDA as supplemental
financial information regarding the Company's operational performance.
These Non-GAAP financial measures are not in accordance with, or an
alternative for, generally accepted accounting principles in the United
States. Proforma Net Income and EBITDA should not be considered in
isolation from or as a substitute for financial information presented in
accordance with generally accepted accounting principles, and may be
different from similar measures used by other companies. Reconciliation
of pro forma Net Income and EBITDA to GAAP net income and loss are set
forth in the financial schedule section below.
