EX-99.1 3 a89541exv99w1.txt EXHIBIT 99.1 EXHIBIT 99-1 FOR IMMEDIATE RELEASE: CALIFORNIA AMPLIFIER REPORTS FY 2003 FOURTH QUARTER AND YEAR END RESULTS CAMARILLO, CALIF., APRIL 22, 2003 --- California Amplifier, Inc. (Nasdaq: CAMP) today reported results for its fourth quarter and fiscal year ended February 28, 2003. Sales for the fourth quarter of fiscal 2003 were $26.1 million, compared to $22.5 million for the fourth quarter of the prior year. Income from continuing operations for the fourth quarter was $971,000, or $0.06 per diluted share, compared to $966,000, or $0.07 per diluted share for the fourth quarter of fiscal year 2002. Sales for fiscal year 2003 were $100.0 million, compared to $100.7 million for fiscal year 2002. Income from continuing operations for fiscal year 2003 was $5.2 million, or $0.35 per diluted share, compared to $2.9 million, or $0.21 per diluted share for fiscal year 2002. Fred Sturm, President and Chief Executive Officer commented, "In light of a continued weak economic environment, we are pleased with our overall financial performance for both fiscal year 2003 and the most recent quarter. Our primary markets are extremely competitive and our employees responded well to the ongoing challenge of maintaining our competitive position during the year." Mr. Sturm added, "We continue our pursuit of new market opportunities that leverage our core RF design and manufacturing expertise. The Company is currently evaluating the best means to effectively bring to market RASTER(TM), a recently announced smart antenna technology which has the potential to significantly improve the performance of 802.11 networks. In addition, the Company believes that its continued development of broadband wireless products for licensed band applications will assist telecom service providers in reaching a suitable solution for broad scale deployment. We are encouraged that our portable customer premise equipment recently achieved FCC-type certification and is currently undergoing product interoperability testing with our technology partner, Navini Networks. California Amplifier has received a seed order for this product from a customer in South Asia." "Results in the first quarter of fiscal 2004 are expected to be impacted by a recent reduction in demand for certain advanced satellite reception products as well as slower than expected industry subscriber growth," stated Mr. Sturm. "In addition, intense price competition has placed significant pressure on our overall gross margins. Based on our current market outlook we estimate fiscal 2004 first quarter revenue in the range of $17 to $20 million and a loss in the range of $0.03 to $0.06 per diluted share. We are currently reviewing our operations to more closely align our cost structure with expected near-term revenue. We remain optimistic that the Company's satellite markets will improve in the quarters ahead." ABOUT CALIFORNIA AMPLIFIER, INC. California Amplifier designs, manufactures and markets a broad line of integrated microwave solutions used primarily in conjunction with satellite television and terrestrial broadband wireless applications. The Company's satellite business unit designs and markets reception components for the Direct Broadcast Satellite television market as well as a full line of consumer and commercial products for video and data reception. The wireless access business unit designs and markets integrated wireless solutions for video, voice and data applications. California Amplifier is an ISO 9001 certified company. For additional information, visit California Amplifier's web site at www.calamp.com. Statements in this release about the Company's future financial performance, customer relationships, initiatives to develop innovative wireless solutions, and the market potential of new products are forward-looking statements and are subject to risks and uncertainties that could cause actual results to differ materially from expectations. Words such as "may," "will," "expects," "intends," "plans," "believes," "seeks," "could," "optimistic," "potential," "estimates" and variations of these words and similar expressions are intended to identify forward-looking statements. Factors that could impact California Amplifier's future results include changes in product demand and market growth rates, the effect of competition, pricing pressures, supplier constraints, manufacturing yields, market acceptance of new products and the viability and market acceptance of new technologies. Although the Company believes the expectations reflected in such forward-looking statements are based upon reasonable assumptions, it can give no assurance that its expectations will be attained. The Company undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. More information about California Amplifier's risks is available in the Company's annual report on Form 10-K and other filings made from time to time with the Securities and Exchange Commission." For more information, contact: Crocker Coulson Rick Vitelle Partner Chief Financial Officer Coffin Communications Group California Amplifier, Inc. (818) 789-0100 (805) 987-9000 crocker.coulson@coffincg.com [TABLES FOLLOW] CONSOLIDATED STATEMENTS OF INCOME (unaudited, in thousands, except per share data)
Three months ended Year ended February 28, February 28, ------------------------- --------------------------- 2003 2002 2003 2002 --------------------------------------------------------------------------------------------------------------------- Sales $26,071 $22,503 $100,044 $100,715 Cost of sales 22,115 18,113 79,511 78,342 --------------------------------------------------------------------------------------------------------------------- Gross profit 3,956 4,390 20,533 22,373 Research and development 1,167 1,552 5,982 7,337 Selling 617 146 2,560 3,456 General and administrative 777 1,209 3,781 6,321 -------------------------------------------------------------------------------------------------------------------- Operating income 1,395 1,483 8,210 5,259 Non-operating expenses (56) (150) (215) (1,078) -------------------------------------------------------------------------------------------------------------------- Income before taxes 1,339 1,333 7,995 4,181 Provision for income taxes (368) (367) (2,835) (1,307) -------------------------------------------------------------------------------------------------------------------- Income from continuing operations 971 966 5,160 2,874 Income from discontinued operations, net of tax - - - 1,590(A) -------------------------------------------------------------------------------------------------------------------- Net income $ 971 $ 966 $ 5,160 $ 4,464 ==================================================================================================================== Net income per share: Continuing operations Basic $ .07 $ .07 $ .35 $ .21 Diluted $ .06 $ .07 $ .35 $ .21 Discontinued operations Basic $ - $ - $ - $ .12 Diluted $ - $ - $ - $ .11 Total Basic $ .07 $ .07 $ .35 $ .33 Diluted $ .06 $ .07 $ .35 $ .32 -------------------------------------------------------------------------------------------------------------------- Shares used in per share calculations: Basic 14,740 13,738 14,639 13,727 Diluted 14,960 14,054 14,870 13,979 --------------------------------------------------------------------------------------------------------------------
SALES BY PRODUCT LINE:
Three months ended Year ended February 28, February 28, ------------------------- -------------------------- 2003 2002 2003 2002 -------------------------------------------------------------------------------------------------------------------- Satellite Products $23,880 $19,764 $ 88,437 $ 78,899 Wireless Access Products 2,191 2,739 11,607 21,816 -------------------------------------------------------------------------------------------------------------------- Total $26,071 $22,503 $100,044 $100,715 ====================================================================================================================
(A) Includes a gain of $1,615 on the sale of Micro Pulse, Inc. CALIFORNIA AMPLIFIER, INC. CONSOLIDATED BALANCE SHEETS (IN THOUSANDS)
FEBRUARY 28, FEBRUARY 28, 2003 2002 --------------------------------------------------------------------------------------------------------------------------- ASSETS Current assets: Cash and cash equivalents $ 21,947 $ 23,156 Accounts receivable, net 16,053 8,219 Inventories 12,862 9,472 Deferred income tax assets 1,130 3,580 Prepaid expenses and other current assets 1,100 1,312 --------------------------------------------------------------------------------------------------------------------------- Total current assets 53,092 45,739 Property and equipment, at cost, net of accumulated depreciation and amortization 9,322 7,375 Goodwill, net of amortization 20,938 3,287 Deferred income tax assets, less current portion 5,400 - Other assets 845 287 -------------------------------------------------------------------------------------------------------------------------- $ 89,597 $ 56,688 ========================================================================================================================== LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Current portion of long-term debt $ 3,005 $ 917 Accounts payable 11,553 5,713 Accrued liabilities 3,847 8,850 --------------------------------------------------------------------------------------------------------------------------- Total current liabilities 18,405 15,480 Long-term debt, net of current portion 12,569 3,628 Stockholders' equity: Common stock 147 136 Additional paid-in capital 43,441 27,569 Retained earnings 15,836 10,676 Accumulated other comprehensive loss (801) (801) --------------------------------------------------------------------------------------------------------------------------- Total stockholders' equity 58,623 37,580 --------------------------------------------------------------------------------------------------------------------------- $ 89,597 $ 56,688 ===========================================================================================================================
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