Aeroflex Holding Corp. ("Aeroflex") (NYSE: ARX), a leading global provider of high performance microelectronic components, and test and measurement equipment, today announced its financial results for the first quarter of fiscal 2012, which ended September 30, 2011. Net sales for the first quarter of fiscal 2012 were $154.9 million, marginally lower than the first quarter of fiscal 2011. AMS sales increased 5.8% to $81.8 million in the first quarter of fiscal 2012, offsetting the sales decline in the ATS business which had net sales of $73.1 million for the first quarter of fiscal 2012. Non-GAAP operating income and Adjusted EBITDA were $18.4 million and $23.1 million, respectively, in the first quarter of fiscal 2012. For the first quarter, the book-to-bill ratio was greater than 1-to-1. “Although this was a challenging quarter for Aeroflex, our business model is still well positioned for the future,” said Len Borow, Chief Executive Officer of Aeroflex. “We are extremely pleased with the continued growth in our AMS business this quarter despite the weakened business environment. The consistent performance of our AMS business demonstrates the value that our unique intellectual property and strong product portfolio bring to our customers.” Commenting on Aeroflex’s ATS business, Mr. Borow added, “The headwinds from the difficult macroeconomic environment have proven stronger than we envisioned just a couple of months ago. As a result, we have begun to experience lengthened capital expenditure approval cycles and capital expenditure freezes from many of our wireless test customers resulting in a number of growth opportunities in our wireless test business being pushed out. We believe we are still well positioned with our market leading products to restart our growth when capital spending returns.” Additionally this quarter, as we did in fiscal 2009 when the economy initially worsened, we have begun to focus on cost reductions and expense management in order to maximize our profitability and cash flow.”
Aeroflex (ARX) surged more than 25% to a one-year high of $10.47 on Tuesday after British aerospace and defense supplier Cobham announced it would purchase the U.S. communications equipment manufacturer for $920 million.
Acquisitive U.K. aerospace company Cobham on Tuesday agreed to buy Plainview, N.Y-based Aeroflex Holding for $1.5 billion in cash and debt to further expand its communications business and offer new markets for the target's products.
Shares of Aeroflex Holding (ARX) are up over 24% in pre-market trade after it was announced that the wireless communications firm entered into a merger agreement with U.K.-listed Cobham in a deal valued at $920 million.