MINNEAPOLIS -- CyberOptics Corp. reported sales of $14.6 million, up 73% a year ago and down 1.1% sequentially, for its second quarter ended June 30.

Net income rose 844% to $1.9 million year-on-year, and 31% from the first quarter. Operating income jumped to $2.5 million from $26,000 a year ago and was up 34% sequentially.

In a statement, president and chief executive Kathleen P. Iverson said, "Our strong sales and above-plan earnings were driven by robust demand for our electronic assembly sensors and the new Flex Ultra automated optical inspection system.

"We believe most of the world's memory module producers are now CyberOptics' customers, many of which are standardizing on our inspection systems."

Iverson also cited DEK, which uses CyberOptics' cameras in its screen printers.

During the second quarter the company received a $900,000 order, primarily for Flex Ultra systems, from a large Asian ODM said to be the world's leading producer of smart phones and PDAs. About $260,000 worth of systems have been delivered, with the balance scheduled for the third quarter.

CyberOptics forecast sales of $14 million to $15 million for the third quarter ending Sept. 30. 

Second quarter orders totaled $14.2 million, down from $16 million in the first quarter. Order backlogs were $7.8 million, down from $8.2 million. "Since the majority of this backlog is scheduled to ship in the third quarter and given our outlook for new orders, we believe the third quarter should be another good period," Iverson said.

At quarter's end, the company had cash and securities of $48,.6 million, up from $43.6 million sequentially.

CyberOptics also announced that its board has approved the repurchase of up to 500,000 shares of its common stock in the open market for a one year period starting July 31.