News
MANKATO, MN – EMS firm Winland Electronics reported net sales for the first quarter were $7 million, down 24.4% year-over-year. The company incurred a loss from operations of $569,000 compared to a loss of $342,000 in 2007. First-quarter net loss was $380,000, compared to a net loss of $267,000 last year.
Gross profit was $611,000, or 8.7% of sales, down from last year’s $872,000, or 9.4% of sales. Decreased gross profit was primarily a result of underutilization of fixed manufacturing costs because of lower sales volume for the quarter, said the firm.
Operating expenses were $1.2 million, which was consistent overall with the same period of 2007, according to Winland. The company's sales and marketing expense increased with the hiring of two salespeople during the past year, and in the first quarter, the company decreased new product development spending.
"Winland's results during the first quarter this year reflect the negative impact of a sharp decline in customer demand from two of our three largest customers, as well as the phase out of sales from two customers," said newly named CEO Thomas de Petra.
"Early in the first quarter, we responded to this sales trend with discretionary expense reductions and adjustments to fixed overhead that were paired to a restructuring of our manufacturing and operations departments and other initiatives announced earlier this year," de Petra added.
Gross profit was $611,000, or 8.7% of sales, down from last year’s $872,000, or 9.4% of sales. Decreased gross profit was primarily a result of underutilization of fixed manufacturing costs because of lower sales volume for the quarter, said the firm.
Operating expenses were $1.2 million, which was consistent overall with the same period of 2007, according to Winland. The company's sales and marketing expense increased with the hiring of two salespeople during the past year, and in the first quarter, the company decreased new product development spending.
"Winland's results during the first quarter this year reflect the negative impact of a sharp decline in customer demand from two of our three largest customers, as well as the phase out of sales from two customers," said newly named CEO Thomas de Petra.
"Early in the first quarter, we responded to this sales trend with discretionary expense reductions and adjustments to fixed overhead that were paired to a restructuring of our manufacturing and operations departments and other initiatives announced earlier this year," de Petra added.
ROME, NY – The ESD Association will hold an online course on controlling ESD in automated equipment next month.
The course takes place June 25 at 2 p.m. EST.
Instructor Donn Bellmore of Universal Instruments will focus on the grounding and material requirements of ESD Controls in AHE for prevention of CDM and MM type damage to ESD sensitive devices. Design methods and material selections that provide effective ground paths through the assembly will be introduced. Test methods used to qualify the design will be discussed. Students will also become familiar with different types of plating and practices to provide effective designs.
For more information, visit www.esda.org/education.html.
For a complete 2008 schedule, visit
www.esda.org/documents/2008EducationSchedule.pdf.
MUNICH – Siemens AG said its second-quarter net profit fell 67% as a result of weaker performance in some key business projects, but said orders were up.
SPOKANE VALLEY, WA – EMS provider Key Tronic Corp., reported third-quarter fiscal 2008 revenue of $51.5 million, up 9% year-over-year.
For the first nine months of the year, total revenue was $146.8 million, down 3.8% compared to the same period last year, the company said.
Net income was $1.2 million, up 57% year-over-year.
For the first nine months, net income was $3 million, up 19% compared to the third quarter last year.
The company expects fourth-quarter revenue in the range of $50 million to $54 million.
NORTH BILLERICA, MA – BTU International Inc., supplier of advanced thermal processing equipment, said first quarter 2008 net sales were $16.6 million, up 10% year-over-year, and down 9% sequentially.
Net income was $100,000, down 83% from the preceding quarter, and down almost 86% compared to the first quarter of 2007.
“First quarter sales and income were in line with the forecasted ranges. Cash flow was positive, with a quarter-end balance of $27 million, and bookings during the quarter for both electronics and solar were strong,” said Paul J. van der Wansem, chairman and CEO of BTU.
“As we outlined at the end of the fourth quarter of 2007,” said van der Wansem, “we are in the midst of an aggressive program to grow our alternative energy business. Managed by our new Alternative Energy Business Group, we are adding employees and investing heavily in technology and new product development. Although the cost of these initiatives will have a negative impact on short term results, we believe they are necessary...”
The company remains conservative about the electronics business outlook for the second half of the year because of weakening economic conditions. BTU expects second-quarter sales in the range of $19 to $20 million.
Earnings are expected to show a moderate improvement compared to the quarter just finished, as the firm foresees a continuing ramp of costs associated with executing the plan to grow its alternative energy business.
ELKHART, IN – EMS provider CTS Corp. announced first-quarter 2008 revenues of $172.8 million, up 6% compared to the same period last year.
