Daktronics Inc. (DAKT) Wednesday reported a swing to profit in the fourth quarter, driven largely by improved sales. However, shares of the electronic display systems maker slipped eight percent as its earnings for the period fell short of Wall Street expectations.
Brookings, South Dakota-based Daktronics reported a fourth-quarter profit of $1.84 million or $0.04 per share, compared to a loss of $505 thousand or $0.01 per share a year ago. On average, four analysts polled by Thomson Reuters estimated earnings of $0.07 per share for the quarter. Analysts estimates typically exclude one-time items.
Daktronics sales for the fourth quarter grew to $124.48 million from $111.99 million last year. Analysts had a consensus revenue estimate of $123.0 million for the quarter.
Commenting on the results, Chief Executive Jim Morgan said, "Our fourth quarter and fiscal 2013 financial performance improved over fiscal 2012. We are pleased with the improvements in our operating income and plan to continue working on increasing operating income in fiscal 2014."
Backlog at the end of the quarter was $141.3 million, compared to $122.8 million a year earlier.
The company said its gross profit levels were lower from last year due in part to several large projects that generated revenue with lower than typical margins due to the competitive pricing on the projects.
The company also approved a regular semi-annual dividend of $0.12 per share, payable June 14 to shareholders of record June 3.
DAKT is currently trading at $10.15, down $0.86 or 7.81%, on the Nasdaq.
For comments and feedback: editorial@rttnews.com