SOUTHBOROUGH, Mass., May 7, 2013 (GLOBE NEWSWIRE) -- Sevcon, Inc. (Nasdaq:SEV) reported financial results for the second quarter of fiscal 2013 ended March 30, 2013. Second Quarter Fiscal 2013 Results Summary
- Revenues were $8.0 million, down from $10.1 million in the second quarter of fiscal 2012 but indicating a recovery from the $6.6 million recognized in the first quarter of fiscal 2013. This reflects a continuation of product demand fluctuations in most of the Company's markets that began in the fourth quarter of fiscal 2012. Foreign currency exchange rates were similar to last year and had little effect on reported sales.
- Operating loss was $463,000, including a one-time restructuring charge of $605,000, compared with operating income of $695,000 in the second quarter last year, which included $110,000 in U.K. government grant income. This represents an improvement over the $1.2 million operating loss in the first quarter of fiscal 2013.
- The Company recorded an income tax benefit for the quarter of $638,000.
- Net income was $62,000 or $0.02 per share, compared with net income of $470,000, or $0.14 per diluted share, a year earlier and a net loss of $1.3 million in the first quarter of fiscal 2013.
- Revenues were $14.6 million, compared with $18.6 million in the first six months of fiscal 2012. Foreign currency exchange rates were similar to last year and had little effect on reported sales.
- Operating loss was $1,648,000, which included a one-time restructuring charge of $605,000 in the second quarter, compared with operating income of $947,000 in the first six months of last year, which included $110,000 in U.K. government grant income.
- Net loss was $1.24 million, or $(0.37) per share, compared with net income of $754,000, or $0.22 per diluted share, for the first six months of fiscal 2012.
"Our highest near-term priority is to return Sevcon to profitability," Boyle said. "We have taken out costs without, we believe, jeopardizing the long-term growth of the business. We implemented personnel and cost reduction measures in the second quarter designed to rapidly accomplish this goal, based on the assumption of continued soft demand. We expect these measures to result in approximately $2 million of annual savings. Although we incurred a related restructuring charge of $605,000 in the second quarter, the associated cost reductions enabled us to narrow our operating loss.""We believe that Sevcon is well-positioned to leverage the underlying strength in global demand for environmentally friendly transportation," said Boyle. "We are continuing to expand our portfolio of relationships with OEMs and automotive suppliers in Europe, Asia and North America. At the same time, our engineering team is working closely with our customers around the world on solutions for making electric vehicles safer, more convenient and less costly to operate than ever before. Although the near-term demand environment remains less than favorable, we began the third quarter with a stronger backlog than we began the last two quarters and we have both an improved order flow and a lower cost structure. We remain committed to returning the business to growth and profitability, and look forward to reporting continued progress toward this goal in the quarters ahead." Second Quarter Fiscal 2013 Conference Call Details Sevcon has scheduled a conference call to review its results for the second quarter of fiscal 2013 tomorrow, May 8, 2013 at 9:00 a.m. ET. Those who wish to listen to the conference call webcast should visit the Investor Relations section of the company's website at www.sevcon.com . The live call also can be accessed by dialing (877) 407-5790 or (201) 689-8328 prior to the start of the call. If you are unable to listen to the live call, the webcast will be archived on the company's website.
|Second Quarter Fiscal 2013 Financial Highlights|
|(in thousands except per share data)|
|Three months ended||Six months ended|
|March 30 2013||March 31 2012||March 30 2013||March 31 2012|
|Net sales||$ 8,017||$ 10,101||$ 14,657||$ 18,616|
|Operating (loss) income||(463)||695||(1,648)||947|
|(Loss) income before income taxes||(576)||628||(1,986)||1,001|
|Net income (loss)||$ 62||$ 470||$ (1,240)||$ 754|
|Basic income (loss) per share||$ 0.02||$ 0.14||$ (0.37)||$ 0.23|
|Diluted income (loss) per share||$ 0.02||$ 0.14||$ (0.37)||$ 0.22|
|Average shares outstanding||3,363||3,336||3,351||3,313|
|Summarized Balance Sheet Data|
|March 30 2013 (Unaudited)||September 30 2012 (Derived from audited statements)|
|Cash and cash equivalents||$ 1,002||$ 2,823|
|Prepaid expenses and other current assets||2,066||1,932|
|Total current assets||15,039||16,949|
|Total assets||$ 21,880||$ 23,561|
|Current liabilities||$ 5,036||$ 5,044|
|Liability for pension benefits||9,518||10,264|
|Other long-term liabilities||1,748||1,774|
|Stockholders' equity||$ 5,578||6,479|
|Total liabilities and stockholders' equity||$ 21,880||$ 23,561|
CONTACT: David Calusdian Sharon Merrill Associates 1 (617) 542 5300 SEV@InvestorRelations.com Matt Boyle President and CEO 1 (508) 281 5503 matt.boyle@Sevcon.com