Cubic Corporation ( NYSE: CUB) today reported its financial results for the fourth quarter and fiscal year ended September 30, 2016. As described in a press release dated October 13, 2016, Sales, EBITDA (1), Adjusted EBITDA (1) and EPS were lower than previous expectations and the guidance provided by the Company in August, mainly due to funding delays from the U.S. Department of Defense, specifically for higher margin orders in the Mission Solutions and Training Systems businesses within the Cubic Global Defense Systems (CGD Systems) segment. "While we are disappointed by the shortfall in our fiscal year 2016 financial results, we fully anticipate the delayed orders will be received in fiscal year 2017," said Bradley H. Feldmann, president and chief executive officer of Cubic Corporation. "As part of our One Cubic initiative, we will complete our ERP implementation which will position us for stronger growth and greater efficiency going forward." Financial Results ComparisonFourth Quarter Fiscal 2016 Fourth quarter sales of $406.6 million in 2016 were 5 percent lower than sales of $425.9 million in the corresponding quarter last year. Sales would have been $5.9 million higher this year absent the negative impact on quarterly sales from changes in foreign currency rates compared to last year. Sales from recent acquisitions, which were all in the CGD Systems segment, for the fourth quarter of fiscal 2016 were $36.2 million compared to $23.2 million during the same quarter last year. Sales decreased for the quarter from CGD Systems and Cubic Global Defense Services (CGD Services), and were virtually unchanged for Cubic Transportation Systems (CTS). Operating income decreased 70 percent to $10.5 million for the fourth quarter of 2016 compared to $34.7 million in the fourth quarter of 2015. Operating income for the quarter was lower from all three operating segments. Foreign currency exchange translation reduced operating income by $1.2 million in the quarter compared to last year. Expenses incurred in the fourth quarter of 2016 for strategic and IT system resource planning as part of One Cubic initiatives totaled $12.4 million compared to $5.3 million in the fourth quarter of last year. Adjusted EBITDA (1), which excludes acquisition-related expenses, expenses related to ERP system development and supply chain process redesign, restructuring costs and other non-operating income and expenses, was $35.7 million or 9 percent of sales for the quarter compared to $54.0 million or 13 percent of sales in the fourth quarter of fiscal 2015. Full Year Fiscal 2016 Sales in 2016 were $1.462 billion compared to $1.431 billion in 2015, an increase of 2 percent. Increases in sales for CTS and CGD Systems of 3 percent and 5 percent, respectively, were partially offset by a 3 percent decrease in CGD Services sales. Revenues from businesses acquired in 2016 and 2015, all within the CGD Systems operating segment, were $79.6 million in 2016 compared to $45.8 million in 2015. The impact of changes in foreign currency exchange rates, particularly the strengthening of the U.S. dollar against the British pound, adversely affected sales. The average exchange rates between the prevailing currencies in foreign operations and the U.S. dollar had a negative impact on sales of 2 percent, or $32.3 million in 2016 compared to 2015.