JACKSON, MI -- Sparton Corp. reported earnings for its fourth quarter ended June 30 rose 227% to $4.9 million, boosted by a one-time, pre-tax gain of $5.45 million from a settlement with it former insurers.

Net sales were $45.9 million, down 4% from $47.8 million last year. In Q4 2004 the company posted earnings of $1.5 million.


For fiscal 2005, the electronics manufacturing services provider reported net sales of $167.2 million, up 3.9% from $161 million last year. Net income was $8.1 millio, up from a loss of $2 million last year.

Sales to aerospace customers -- Sparton's biggest market -- rose 17% to $68.4 million. Industrial and other sales increased 19% to $47.6 million. Governmental sales fell 15% to $38.2 million and medical/scientific instrumentation sales dropped 28% to $13 million.

For the fourth quarter, the gross margin was 10.6%, up from 8.2% for the same period last year.

For the year, gross margin was 10.8%, up from 5.8%.

At quarter's end the company had no outstanding long or short-term debt, and cash and investments of $30 million.