Science & Technology
Science and Technology
Science and Technology
Mon, May 18, 2009
Fri, May 15, 2009
Thu, May 14, 2009 Sutron Corporation: Sutron Reports First Quarter Operating Results
STERLING, VA--(Marketwire - May 14, 2009) - Sutron Corporation (
Financial Highlights
Net income for the first quarter ended March 31, 2009 was $106,658 or $.02 per share compared to net income of $246,917 or $.05 per share in the first quarter in 2008. Revenues for the first quarter ended March 31, 2009 were $3,575,031 compared to $3,819,048 in the first quarter of 2008. The backlog of customer orders at March 31, 2009 was $6,397,000 as compared to $9,540,000 at March 31, 2008.
"We are a project driven business and our quarterly results fluctuate for this reason," said Raul McQuivey, Sutron's Chairman and Chief Executive Officer. "We were hopeful of receiving the Tamil Nadu Agricultural University contract early in the first quarter of 2009 so that it could impact our first quarter results. This India contract in the amount of approximately $3 million, however, was not awarded until April 2009. Our second quarter results will now benefit from this contract. We were pleased that our gross margin was approximately 39% in the first quarter of 2009 or approximately the same as 2008. This was encouraging in spite of a foreign currency loss of approximately $43,000 in the first quarter of 2009. This loss compares to a foreign currency loss of approximately $13,000 in 2008. Operating expenses increased approximately $197,000 over the prior year. The increase was due primarily to increased R&D product development spending, increased agent commissions relating to several international shipments and increased stock option compensation expenses. We were pleased to settle a lawsuit with a former employee in the amount of $150,000 in the first quarter of 2009.
"We ended the quarter with cash of approximately $4.6 million which includes restricted cash of approximately $930,000. We continue to be optimistic in regards to both our domestic and international business. We are closely following the economic stimulus plan that has been approved by Congress and believe that this will result in major customer orders in 2009 and 2010. We are also aware of many international projects and believe that we will be successful in winning several large projects in 2009."
About Sutron Corporation
Sutron was founded in 1975 and is headquartered in Sterling, Virginia. Sutron designs, manufactures and sells hydrological, meteorological and oceanic monitoring products, systems, software and services to a diversified customer base of federal, state, local and foreign governments, engineering companies, universities and hydropower companies.
Safe Harbor Statement
The statements in this press release that relate to future plans, events or performance are "forward-looking statements" within the meaning of the Private Securities Litigation Act of 1995. Forward-looking statements include without limitation any statements regarding our expected future financial position, results of operations, cash flows, financing plans, business strategy, products and services, competitive positions, growth opportunities, plans and objectives of management for future operations, as well as statements that include words such as "anticipate," "if," "believe," "plan," "estimate," "expect," "intend," "may," "should" and other similar expressions are forward-looking statements. All forward-looking statements involve risks, uncertainties and contingencies which may cause actual results, performance, or achievements to differ materially from anticipated results, performance, or achievements. Factors that may cause actual results to differ materially from those in the forward-looking statements include those set forth in our filings with the SEC, including the disclosure under the heading "Business" and "Management's Discussion and Analysis" in the Company's Annual Report on Form 10-K filed on March 31, 2009. We are under no obligation to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise.
SUTRON CORPORATION FINANCIAL SUMMARY (Unaudited) For the Three Months Ended March 31, HIGHLIGHTS OF OPERATING RESULTS 2009 2008 ----------- ----------- Revenues $ 3,575,031 $ 3,819,048 Cost of sales 2,188,742 2,324,396 ----------- ----------- Gross profit 1,386,289 1,494,652 Operating expenses 1,369,124 1,172,056 ----------- ----------- Operating income 17,165 322,596 Interest and other income 172,493 40,321 ----------- ----------- Income before income taxes 189,658 362,917 Income tax expense (benefit) 83,000 116,000 ----------- ----------- Net income $ 106,658 $ 246,917 =========== =========== PER SHARE AMOUNTS: Basic income per share $ .02 $ .05 =========== =========== Diluted income per share $ .02 $ .05 =========== =========== Balance Sheets (Unaudited) (Audited) March 31, December 31, 2009 2008 ------------ ------------ ASSETS Current Assets: Cash and cash equivalents $ 3,703,079 $ 3,705,475 Restricted cash and cash equivalents 930,048 784,920 Accounts receivable, net 3,492,664 3,872,527 Inventory 3,826,779 4,053,788 Prepaid items and other assets 197,492 302,633 Income taxes receivable 988,541 983,875 Deferred income taxes 321,000 308,000 ------------ ------------ Total Current Assets 13,459,603 14,011,218 Property and Equipment, Net 442,118 372,745 ------------ ------------ Other Assets Goodwill 570,150 570,150 Other Assets 159,277 95,057 ------------ ------------ Total Assets $ 14,631,148 $ 15,049,170 ============ ============ LIABILITIES AND STOCKHOLDERS’ EQUITY Current Liabilities: Accounts payable $ 735,755 $ 1,200,721 Accrued payroll 204,039 129,142 Other accrued expenses 656,205 794,307 Notes payable - current - 2,765 Billings in excess of costs and estimated earnings 111,335 139,117 ------------ ------------ Total Current Liabilities 1,707,334 2,266,052 Long-Term Liabilities Deferred income taxes 59,000 59,000 ------------ ------------ Total Long-term Liabilities 59,000 59,000 ------------ ------------ Total Liabilities 1,766,334 2,325,052 ------------ ------------ Stockholders’ Equity Common stock 45,707 45,707 Additional paid-in capital 2,827,685 2,778,775 Retained earnings 10,115,763 10,009,105 Accumulated other comprehensive loss (124,341) (109,469) ------------ ------------ Total Stockholders’ Equity 12,864,814 12,724,118 ------------ ------------ Total Liabilities and Stockholders’ Equity $ 14,631,148 $ 15,049,170 ============ ============
