SBS Technologies, Inc. Announces Results For Fiscal 1999 1st Quarter Ended September 30, 1998
<b>Reports Record Sales Of $24.6 Million</b>
SBS Technologies, Inc. ("SBS") ("the Company") (NASDAQ: SBSE) today announced results of its first quarter of fiscal 1999 ended September 30, 1998. The Company reported that sales for the quarter were $24.6 million, a 50% increase over the first quarter of the prior fiscal year. Net income for the quarter was $2.7 million, compared to $2.3 million of reported net income for the same quarter of the prior fiscal year, a 17% increase. Net income per share - assuming dilution was $0.43, compared to $0.39 reported for the first quarter of fiscal 1998, a 10% increase. During this quarter, SBS took an earnings charge in the amount of $527,514 for in-process research and development associated with the acquisition of the majority interest in or Industrial Computers GmbH in July 1998. Excluding the in-process research and development charge taken this quarter, net income for the quarter would have been $3.0 million, or a 30% increase over the prior year quarter. Again excluding the charge, net income per share - assuming dilution for the quarter ended September 30, 1998 would have been $0.47, which exceeded the consensus of analysts' estimates. Excluding this charge, net income per share - assuming dilution increased 21% over the prior year's first quarter results. "The first quarter of Fiscal 1999 represents one of continued progress toward achieving the strategic and performance goals we have set in the development of our Company. This quarter, in accordance with our strategy for growth through acquisition, we acquired two businesses which added significantly to our CPU product line and we have continued to expand our market presence, both domestically and internationally," said Christopher J. Amenson, Chairman and Chief Executive Officer. "We have a very diversified customer base and serve many areas of the embedded computer marketplace. We will continue our strategy to develop SBS internally through increased investments in research and development, infrastructure and marketing efforts, in an effort to take advantage of the opportunities I believe lie before us. We are committed to the long-term growth of our Company and will continue to make the investments necessary to support that growth," Amenson continued. SBS Technologies, Inc. is a leading designer and manufacturer of open-architecture, standard bus embedded computer components that system designers can easily utilize to create a custom solution specific to the user's unique application. SBS product lines include CPU boards, input/output (I/O) modules, avionics modules and analyzers, interconnection and expansion units, telemetry boards, data acquisition software and industrial computers. SBS embedded computer components are used in a variety of applications, such as telecommunications, medical imaging, industrial control and flight instrumentation, in the commercial and aerospace markets. For news releases, product and other information, visit the SBS Web site at http://www.sbs.com. Certain of the foregoing information are forward-looking statements regarding the future events or the future financial performance of SBS, and are subject to a number of risks and other factors which could cause the actual results to differ materially from those contained in the forward-looking statements. Among such factors are: general business and economic conditions; customer acceptance of and demand for SBS' new products; SBS' overall ability to design, test and introduce new products on a timely basis; the cyclical nature of the markets addressed by SBS' products; and the risk factors listed from time to time in documents filed by SBS with the Securities and Exchange Commission.