This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

SED International Holdings' CEO Discusses F4Q 2011 Results - Earnings Conference Call

US export sales for the period net of eliminations grew by 11.7% to $25.2 million compared with $22.7 million in fiscal year 2010. The increase in 2011 was attributed mainly to growth from sales of computer products, specifically hard drives, branded PCs and peripheral devices, including printers and consumable printer products.

Our Latin American sales after translation into US dollars increased 11.3% to $34.5 million. When measured in local currencies, Latin American sales rose approximately 10% with this increase driven by higher sales of computer products, printers and consumable products.

Gross margin for the fourth quarter decreased by 64 basis points year-over-year to 4.7% primarily due to a higher percentage of lower margin hard drives and software sales. When accounting for the impact of foreign currency on our gross margins, including the translation gains and losses, gross margin decreased not by 64 but by 31 basis points compared to the fourth quarter a year ago.

Selling, general and administrative expenses, excluding depreciation and amortization expense and foreign currency translation gains and losses, were $6.5 million or 9.7% increase compared with the $5.9 million in fiscal 2010. The main driver of the increase year-over-year was selling expenses, including commissions, which helped drive the 14.6% sales increase.

As a percent of revenues, SG&A was 4.2% of net sales in fiscal 2011 compared with 4.6% in fiscal 2010.

Operating income for the fourth quarter declined 6% to $933,000 due primarily to the lower gross margins and the 9.7% increase in SG&A associated with the higher selling cost but helping to drive growth.

Read the rest of this transcript for free on seekingalpha.com

3 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,001.22 -38.27 -0.22%
S&P 500 1,988.40 -3.97 -0.20%
NASDAQ 4,538.5510 +6.4470 0.14%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs