Let’s begin with our F2Q performance. The top line trends we saw in F1Q continued in F2Q with sales rising 13% to $101.7 million from the record $90.3 million in the prior year period. Revenue growth was driven by strength in the Engineered Films and Applied Technology Divisions, along with the addition of Vista Research revenues in Aerostar.
We continue to benefit from favorable market dynamics in agriculture and energy and we’re leveraging these trends to drive revenue gains in Engineered Films and Applied Technology. Sales in these divisions continued at a record pace in F2Q. Even though a difficult federal spending environment existed and negatively impacted Aerostar’s performance we delivered a strong first half. The ability to do so once again highlights Raven’s diversified model.
We remain steadfast in our commitments, helping customers solve great challenges in the areas of hunger, safety, environmental protection, and energy independence. As customer needs evolve and market dynamics vary, we embrace change and have the flexibility to shift our operational focus and innovative drive to succeed as a business.
Our ability to meet these challenges and aggressively expand and pursue new opportunities requires important capital investments. During F2Q we spent $15.5 million to support our ambitious F2013 product and growth strategy. Despite these investments we were still able to deliver a solid performance and Thom will talk more about our research & development and SG&A later.To fund future growth, increase our dividend each year and maintain a low debt balance sheet we rely on our strong cash flows, a trademark of the Raven model. I’m pleased to report that our cash balance at the end of F2Q stood at $44.1 million. This was up slightly from the end of F1Q and includes capital spending that was up 53% from the prior year.I’d now like to talk about each of our three divisions, starting with Engineered Films. As you saw in the release, this division’s sales were up 13% and accounted for 36% of total F2Q sales. Net income rose 29%. Both sales and operating income came in at record levels. We continue to see solid, sustainable growth in the energy and ag markets. Energy currently comprises about 40% of our EFD revenues and that’s lower than our recent historical levels which had approached 50%, and we see this as a positive trend.
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