RF INDUSTRIES, LTD. For Immediate Release
RF Connectors/Aviel/Neulink/Bioconnect
Investor Contact: Company Contact:
Neil Berkman Associates Howard Hill, President
(310) 277 - 5162 (858) 549-6340
info@berkmanassociates.com rfi@rfindustries.com
RF Industries' Announces Audited Fiscal 2004
and Fourth Quarter Results
SAN DIEGO, CA, February 14, 2005 . . . RF INDUSTRIES, LTD.
(NASDAQ:RFIL) today announced final audited results for the fiscal year
ended October 31, 2004, the filing of its Annual Report on Form 10-KSB
with the SEC and unaudited results for the fourth quarter. Net income for
the year and fourth quarter ended October 31, 2004 was $1,224,000 and
$374,000, respectively. These results replace preliminary unaudited
earnings reported by RFI on January 7, 2005.
For the fiscal year ended October 31, 2004, audited net income
increased 72% to $1,224,000, or $0.33 per diluted share, compared to
$711,000, or $0.19 per diluted share, for the fiscal year ended October
31, 2003. Sales increased 14% to a record $11,227,000, compared to
$9,875,000, in fiscal 2003. RFI previously reported preliminary net income
of $1,288,000, or $0.34 per diluted share, and sales of $11,333,000 for
fiscal 2004.
For the fourth quarter ended October 31, 2004, net income increased
24% to $373,000, or $0.10 per diluted share, compared to $301,000, or
$0.09 per diluted share, in the same quarter last year. Sales increased 6%
for the quarter to $3,229,000, compared to sales of $3,045,000 in same
quarter last year. RFI previously reported preliminary unaudited fourth
quarter net income of $437,000, or $0.12 per diluted share, and sales of
$3,335,000 for the fourth quarter of fiscal 2004. The fourth quarter
acquisition of Aviel Electronics added approximately $190,000 and $36,000
to sales and operating profits, respectively, for the fourth quarter of
fiscal 2004.
RFI's operating income improved to 18% of sales, compared to 12% of
sales in fiscal 2003, and profitability benefited from a strong product
mix at RF Connector and higher Bioconnect sales.
At October 31, 2004, RFI reported cash and cash equivalents of
$4,497,000, working capital of $9,696,000, an 18 to 1 current ratio, no
long-term debt and stockholders' equity of $10,455,000, or $3.49 per
share.
RFI's RF Connectors division designs and distributes radio frequency
(RF) coaxial connectors and cable assemblies used for Wi-Fi, PCS, radio,
test instruments, computer networks and antenna devices. Aviel Electronics
provides custom microwave, and RF Connector solutions to aerospace, OEM
and Government agencies. Neulink designs and markets wireless digital data
transmission products for industrial monitoring, wide area networks, GPS
tracking and locations systems. RFI's Bioconnect operation designs,
manufactures and distributes specialized electrical cabling and
interconnect products to the medical monitoring market.
The statements contained in this release which are not historical facts
may be deemed to contain forward-looking statements with respect to
events, the occurrence of which involve risks and uncertainties,
including, without limitation, uncertainties detailed in the Company's
Securities and Exchange Commission filings.
* * * * *
#3803
7610 Miramar Road, San Diego, CA 92126-4202 (858) 549-6340 (800) 233-1728
FAX (858) 549-6345
E-mail: rfi@rfindustries.com Internet: www.rfindustries.com
RF INDUSTRIES, LTD.
Condensed Statements of Income
Three Months Ended Fiscal Year Ended
October 31, October 31,
---------------------------- -------------------------------
2004 2003 2004 2003
(unaudited)
Net sales $ 3,229,066 $ 3,045,189 $ 11,227,242 $ 9,875,499
Cost of sales 1,562,050 1,664,516 5,539,945 5,079,307
----------- ----------- ------------ ------------
Gross profit 1,667,016 1,380,673 5,687,297 4,796,192
----------- ----------- ------------ ------------
Operating expenses:
Engineering 148,612 188,331 486,202 753,562
Selling and general 873,407 666,231 3,154,074 2,849,506
----------- ----------- ------------ ------------
Total expenses 1,022,019 854,562 3,640,276 3,603,068
----------- ----------- ------------ ------------
Operating income 645,997 526,111 2,047,021 1,193,124
Interest income 7,697 5,094 17,110 22,321
----------- ----------- ------------ ------------
Income before provision for income taxes 652,694 531,205 2,064,131 1,215,445
Provision for income taxes 280,000 230,050 840,000 504,700
----------- ----------- ------------ ------------
Net Income $ 372,694 $ 301,155 $ 1,224,131 $ 710,745
=========== =========== ============ ============
Earnings per share - basic $ .13 $ .11 $ .42 $ .23
=========== =========== ============ ============
Earnings per share - diluted $ .10 $ .09 $ .33 $ .19
=========== =========== ============ ============
Basic weighted average shares outstanding 2,964,362 2,661,384 2,906,806 3,053,352
=========== =========== ============ ============
Diluted weighted average shares outstanding 3,805,136 3,329,159 3,751,281 3,670,625
=========== =========== ============ ============
Condensed Balance Sheets
October 31, October 31,
2004 2003
------------- -------------
Cash and investments $ 4,497,322 $ 2,683,896
Accounts receivable, net 1,516,035 1,701,618
Inventories 3,789,958 3,455,018
Other current assets 456,138 305,679
------------ ------------
Total current assets 10,259,453 8,146,211
Equipment and furnishings, net 563,040 328,124
Other assets 248,229 133,755
------------ ------------
Total assets $11,070,722 $ 8,608,090
Current liabilities $ 563,056 $ 509,992
Deferred tax liabilities 53,000 40,000
Stockholders' equity 10,454,666 8,058,098
------------ ------------
Total liabilities & stockholders' equity $11,070,722 $ 8,608,090