RF Industries Ltd. (NASDAQ:RFIL)
today announced preliminary unaudited financial results for the fiscal quarter and year ended October 31, 2011, and provided financial guidance for the coming fiscal year.
For the fourth quarter ended October 31, 2011, preliminary unaudited revenues increased to approximately $5.95 million, up 19% over the comparable fourth quarter of fiscal 2010. The Company expects to realize an unaudited net loss in the fourth quarter of fiscal 2011 of approximately $50,000, compared to net income of $435,000 in the fourth quarter of fiscal 2010. The quarterly loss was due to a decrease in revenues in the Company's RF Connector and Cable Assemblies divisions, plus certain one-time costs and professional fees totaling approximately $167,000 incurred in connection with both the acquisition of Cables Unlimited and the resolution of certain shareholder issues. The Company also realized approximately $60,000 of non-cash depreciation and amortization charges related to the tangible and intangible assets that the Company acquired in the Cables Unlimited transaction.
For the fiscal year ended October 31, 2011, preliminary unaudited revenues increased to $19.4 million, up 19% compared to revenues in fiscal year 2010. Preliminary unaudited net income was $773,000 in fiscal 2011, compared with net income of $1,220,000 in fiscal 2010. Additional one-time costs of approximately $798,000, associated with the acquisition of Cables Unlimited and the resolution of certain shareholder issues, significantly increased the Company's general and administrative expenses, compared with the prior fiscal year ended October 31, 2010. Net income was also affected by the addition of approximately $139,000 of non-cash depreciation and amortization charges relating to the acquired Cables Unlimited tangible and intangible assets.
The Company expects to report fully audited results for fiscal 2011 during the last week of January, 2012.
RF Industries Provides Guidance for Fiscal 2012
"We believe that the anticipated results of our continuing business, combined with additional results of our new Cables Unlimited division that we acquired in June of 2011 and revenues to be received by our Radiomobile division under its recently announced contract with the Los Angeles County Fire Department, will result in record revenues for the fiscal year ending October 31, 2012," said Howard Hill, Chief Executive Officer of RF Industries. "Based on preliminary order indications from our RF cable and connector clients and the anticipated results of Cables Unlimited and Radiomobile, we are providing guidance for annual sales of $24 to $26 million and earnings of approximately $0.27 to $0.30 per diluted share in the current fiscal year," said Howard Hill, Chief Executive Officer of RF Industries.