Key Tronic Reports Q3 Revenues Drop 14%
Published: 28 April 2009
by Staff
Net income was $300,000, down 75% compared to last year.
For the first nine months of fiscal 2009, total revenue was $139.5 million, a drop of nearly 5% year-over-year. Net income was $800,000, a decrease of 73.3% compared to the same period in 2008.
Third-quarter results included charges of approximately $500,000 for increased reserves on a doubtful foreign receivable and approximately $200,000 for severance charges related to cost reduction efforts.
“With the challenging global economic environment, we continue to focus on reducing our costs and maintaining our operating efficiency and profitability,” said newly named president and CEO Craig Gates. “While we have maintained our existing customer base, we continue to see slowdowns in orders among those programs.
“During the third quarter, we won several new programs involving military electronics, computer networking and telecommunications.”
The company expects fourth-quarter revenue in the range of $40 million to $43 million, with earnings in the breakeven range.
