Georgia-Based Video Display Corporation Reports 18% Profit Increase in 2011
Press release from the issuing company
Thursday, June 2nd, 2011
Video DisplayCorporationtoday reported financial results from continuing operations for fiscal year 2011 fourth quarter and full year as follows:
| Fiscal Year | 2011 | 2010 | $ Change | % Change |
| Net Revenue | $59,039 | $50,076 | 8,963 | 18% |
| Gross Profit | 15,495 | 13,709 | 2,416 | 18% |
| Operating Expenses | 11,076 | 11,316 | (240) | -2.1% |
| Net Profit after Tax | 2,401 | 1,179 | 1,222 | 104% |
| Earnings per Share – Cont Op. | $0.28 | $0.14 | $0.14 | 100% |
| Loss Per share- Discont. Op | . ($0.15) | ($0.03) | ($0.12) | 400% |
| Fully Diluted O/S Shares | 8,700 | 8,744 | (44) | -0.5% |
| 4th Quarter | 2011 | 2010 | $ Change | % Change |
| Net Revenues | $14,511 | $14,086 | $425 | +3% |
| Gross Profit | 3,538 | 4,051 | ($513) | -13% |
| Operating Expenses | 2,826 | 2,534 | $292 | +11.5% |
| Net Profit after Tax | 290 | 720 | ($430) | -60% |
| Earnings per Share - Cont Op. | $0.03 | $0.08 | ($0.05) | -63% |
| Loss Per share- Discont. Op. | ($0.08) | $0.00 | ($0.08) | N/M |
| Fully diluted O/S Shares | 8,700 | 8,744 | (44) | -0.5% |
Company CEO, Ron Ordway, stated, "Fiscal 2011 represented a pivotal change for the future operations and results foryourCompany'srevenue and profits as reflected in the above reported financial numbers.It should be noted that all reported numbers and comparisons above exclude all operating results of Fox Electronics Ltd. except where specified as "Discontinued Operations". While we generated a significant increase in revenues of 18%, we were able todecrease operating expenses for this fiscal year by 2.1% through a continuation of the $2.5 million expense reduction program implemented in the beginning of fiscal 2010 and thereby generate a 100% increase in earnings per share of $0.28 versus $0.14 for the previous fiscal year."
Ordway added, "As we look forward, we continue to see opportunities for growth in our markets for military, medical, commercial and industrial displays.Based upon the current level of order booking for orders deliverable in fiscal 2012 and beyond, I believe that VDC's revenues for fiscal 2012 will be in the range of $63 million to $68 million or an increase of 7% - 15% above revenues reported for fiscal 2011.Subsequent to the sale of the Fox International subsidiary, which had generated a loss for fiscal 2011 of$1.3 million net of tax benefits, the Company continues to maintain three manufacturing operations that also generated losses in fiscal 2012.All three of these operations are minor revenue generators and are in the process of being discontinued within the next 9 months."
Ordway further stated, "As we continue to eliminate our non-core assets and the Company becomes a "pure play" in providing our selected military, medical, commercial and industrial markets withhighendspecialty displays and assemblies, we expect to gain overall higher margins on the remaining product lines.Based upon achieving our revenue goals for fiscal 2012, we project such revenues to generate an increase in per share earnings of 30% - 50% or $0.36 - $0.42 versus $0.28 in the previous year on approximately 7.7 million shares outstanding for the 2012 fiscal year."
