Business News
Gerber Scientific Announces Fiscal 2008 Third Quarter Results
Friday 07. March 2008 - Gerber Scientific, Inc. (NYSE:GRB) today reported net income of $3.1 million for the third quarter of fiscal 2008, or $0.13 per diluted share, on revenue of $152.0 million, compared with net income of $2.2 million, or $0.10 per diluted share, on revenue of $137.1 million for the third quarter of fiscal 2007.
Foreign currency translation had the effect of increasing revenue by approximately $9.6 million in the third quarter of fiscal 2008 as compared with the third quarter of fiscal 2007.
For the nine months ended January 31, 2008, the Company reported net income of $8.4 million, or $0.36 per diluted share, on revenue of $466.3 million, compared with net income of $7.9 million, or $0.34 per diluted share, on revenue of $419.7 million for the nine months ended January 31, 2007. Foreign currency translation had the effect of increasing revenue by approximately $24.2 million for the nine months ended January 31, 2008, as compared with the nine months ended January 31, 2007.
The Company used $7.5 million in cash flows from operations, less capital expenditures, for the first nine months of fiscal 2008 as compared with a cash usage of $11.8 million in the prior year comparable period.
Marc T. Giles, President and Chief Executive Officer, commented: “We are pleased to report for the third quarter of fiscal 2008 that revenue, operating profit and earnings per share all increased as compared with the prior year. Revenue growth of $14.8 million, or 10.8 percent, as compared with the prior year, was led by the Sign Making and Specialty Graphics segment, through the strong performance of the Spandex business unit, with stronger aftermarket revenue and benefits from favorable foreign currency translation, and the incremental revenue provided by our acquisition of Data Technology early this fiscal year. Operating profit margin of 4.1 percent for the third quarter increased 1.1 percentage points, primarily as a result of lower selling, general and administrative expenses during the quarter as a percent of revenue compared with the fiscal quarter ended January 31, 2007. This improved operating performance resulted in a year-over-year increase in earnings per share for the third quarter of $0.03 per diluted share, after recording a non- cash pre-tax charge of $0.3 million, or $0.01 per diluted share, related to the write-off of deferred financing costs associated with the refinancing of the Company’s credit facility.”
Giles continued, “With regard to our exciting new product – the Solara ion(TM), we continue to expect to ship in volume during the first quarter of fiscal 2009. Also, pre-order volume has increased by approximately 45% to 125 orders from the amount reported in November 2007.”