OLATHE, KS -- Elecsys reported fourth-quarter sales plunged 41% to $4.08 million for the period ended April 30.

Sales at DCI, the company's electronics manufacturing services unit, decreased approximately $4.53 million from the prior fiscal year because of lower bookings in the second half of fiscal 2009. The company reported DCI had sales of $15.6 million to external customers in fiscal 2008.

For the quarter, the net loss was $70,000, down from net income of $263,000 for the prior year period. Gross margin was approximately 36% of sales, down one point. Operating income was $71,000, down 90% from last year.

For its fiscal 2009, sales dropped 7% to $21.9 million. Net income was $677,000, down 1.6%. Operating income fell 14% to $1.47 million. Gross margin increased three points to 38% on higher sales by its Radix and NTG units.

In a statement, Elecsys president and chief executive Karl Gemperli said, "Although revenues fell 7% this fiscal year, net income remained relatively stable due to strong gross margins generated by our proprietary products and services and our focus on operational efficiency. To further expand our higher margin proprietary brands, we recently acquired the technology to design and produce custom RFID solutions for harsh and extreme environments. This technology will provide us with new opportunities for growth in additional markets."

He guided for sales to decrease during the next quarter, then sales increase through the rest of fiscal 2010.

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