Technical Communications Corporation Reports Results for the Three and Nine Months Ended June 30, 2018
Source: Nasdaq GlobeNewswire / 06 Aug 2018 08:01:16 America/New_York
CONCORD, Mass., Aug. 06, 2018 (GLOBE NEWSWIRE) -- Technical Communications Corporation (NasdaqCM: TCCO) today announced its results for the three and nine month periods ended June 30, 2018. For the three months ended June 30, 2018, the Company reported net income of $243,000, or $0.13 per share, on revenue of $1,544,000, compared to a net loss of $(344,000), or $(0.19) per share, on revenue of $1,068,000 for the quarter ended July 1, 2017. For the nine months ended June 30, 2018, the Company reported a net loss of $(122,000), or $(0.07) per share, on revenue of $3,590,000, compared to a net loss of $(911,000), or $(0.50) per share, on revenue of $3,084,000 for the nine months ended July 1, 2017.
Commenting on corporate performance, Carl H. Guild, Jr., President and Chief Executive Officer of TCC, said, “During the Company’s third quarter ended June 30, 2018, we achieved some improvement in our financial performance. We produced a modest level of profitability on revenues that were higher than the previous quarter. As we have previously reported, TCC is pursuing several international opportunities that are progressing toward the procurement phase with each project going through extensive customer evaluations and testing. In certain cases we are tailoring the product performance to meet unique customer requirements, which we believe provides a higher level of customer satisfaction and the potential for a long-term customer relationship.”
About Technical Communications Corporation
For over 50 years, TCC has specialized in superior-grade secure communications systems and customized solutions, supporting our CipherONE® best-in-class criteria, to protect highly sensitive voice, data and video transmitted over a wide range of networks. Government entities, military agencies and corporate enterprises in 115 countries have selected TCC's proven security to protect their communications. Learn more: www.tccsecure.com.
Statements made in this press release or as may otherwise be incorporated by reference herein constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include but are not limited to statements regarding anticipated operating results, future earnings, and the ability to achieve growth and profitability. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, including but not limited to the effect of foreign political unrest; domestic and foreign government policies and economic conditions; future changes in export laws or regulations; changes in technology; the ability to hire, retain and motivate technical, management and sales personnel; the risks associated with the technical feasibility and market acceptance of new products; changes in telecommunications protocols; the effects of changing costs, exchange rates and interest rates; and the Company's ability to secure adequate capital resources. Such risks, uncertainties and other factors could cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. For a more detailed discussion of the risks facing the Company, see the Company’s filings with the Securities and Exchange Commission, including its Quarterly Reports on Form 10-Q for the quarters ended March 31, 2018 and December 30, 2017 and its Annual Report on Form 10-K for the fiscal year ended September 30, 2017 and the “Risk Factors” section included therein.
Technical Communications Corporation Condensed consolidated statements of operations Quarter Ended (Unaudited) 06/30/2018 07/01/2017 Net sales $ 1,544,000 $ 1,068,000 Gross profit 877,000 539,000 S, G and A expense 522,000 479,000 Product development costs 114,000 407,000 Operating income (loss) 241,000 (346,000 ) Net income (loss) 243,000 (344,000 ) Net income (loss) per share: Basic $ 0.13 $ (0.19 ) Diluted $ 0.13 $ (0.19 ) Nine Months Ended (Unaudited) 06/30/2018 07/01/2017 Net sales $ 3,590,000 $ 3,084,000 Gross profit 1,800,000 2,129,000 S, G and A expense 1,513,000 1,669,000 Product development costs 415,000 1,378,000 Operating loss (128,000 ) (918,000 ) Net loss (122,000 ) (911,000 ) Net loss per share: Basic $ (0.07 ) $ (0.50 ) Diluted $ (0.07 ) $ (0.50 ) Condensed consolidated balance sheets 06/30/2018 09/30/2017 (Unaudited) (derived from audited financial statements) Cash and marketable securities $ 1,460,000 $ 1,657,000 Accounts receivable - trade 598,000 730,000 Inventory, net 1,555,000 1,358,000 Other current assets 172,000 136,000 Total current assets 3,785,000 3,881,000 Property and equipment, net 59,000 54,000 Total assets $ 3,844,000 $ 3,935,000 Accounts payable $ 131,000 $ 109,000 Accrued expenses and other current liabilities 350,000 326,000 Total current liabilities 481,000 435,000 Total stockholders’ equity 3,363,000 3,500,000 Total liabilities and stockholders’ equity $ 3,844,000 $ 3,935,000
Michael P. Malone
Chief Financial Officer