ELK GROVE VILLAGE, IL -- SigmaTron International today reported revenues 41.3% to $34.9 million yet earnings fell 7.6% to $1.2 million for its second quarter ended Oct. 31.

A year ago the an electronics manufacturing services company reported net revenues of $24.7 million and net income of $1.3 million.

The company saw gains in the appliance, fitness, industrial electronics, life sciences and semiconductor marketplaces. Pricing pressures and an increase in manufacturing supplies and components continued to depress gross margins.

First half net revenues rose to $56.2 million from $46.1 million in 2004. Net income fell to $1.4 million, versus $2.3 million. The 2005 results include the acquisition of Able Electronics, now called SigmaTron Hayward.

In a press release president and chief executive Gary R. Fairhead said, "Our results for our second quarter were much improved over our first quarter results. Second-quarter and year-to-date net income and earnings were negatively impacted by operating resulting from our acquisition of Able Electronics."

SigmaTron has seen some incremental business opportunities from Able's existing customer base, Fairhead said.

The company intends to combine the operations of SigmaTron Fremont into SigmaTron Hayward by the end of fiscal 2006. It also plans to move some business from one of its Mexico plants to SigmaTron China.

SigmaTron China continues to grow and perform well financially, he said. "Our primary challenge remains finding experienced employees with the technical skill sets needed to support the growth we anticipate."

Performance improved at the firm's Elk Grove Village operations but uneven results continue. "Our focus remains on adding new customers and additional revenue at this location," Fairhead said.

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