Windland Cools in Q4 PDF Print E-mail
Written by Mike Buetow   
Friday, 21 March 2008 04:50
MANKATO, MN -- Winland Electronics reported fourth-quarter net sales fell 18.8% to $7.5 million versus last year on lower demand from its top customer. Net income fell 86% to $7,000.


For the year ended Dec. 31, net sales decreased 8.4% to $34.7 million. The net loss was $263,000, down from net income of $1 million in 2006. Gross profit was $4.8 million, and total operating expenses were $5.4 million, up 13.6%. The operating loss of was 620,000, versus income of $1.7 million in 2006.

For the quarter, gross profit was $1.2 million, or 16% percent of sales, down from $1.5 million (16.1%) in 2006. Operating expenses were $1.4 million in the fourth quarter, up $100,000. The company accrued $197,000 in the quarter for severance to its former chief executive. The loss from operations was $189,000, down from income of $132,000 in 2006. The fourth quarter decrease was primarily due to lower sales from Winland's major customer, Select Comfort.

In a press release, Thomas de Petra, Winland's interim chief executive said, "2007 was a disappointing year. The biggest setbacks were in our EMS business, which has accounted for approximately 88-90% of our sales in recent years."

He also disclosed a major restructuring in the first quarter, including new management assignments and data analyses.

de Petra said, "Our objective is to reliably support an aggressive growth strategy combining organic growth and selective acquisitions, and to expand and enhance our product and service offerings geographically. Industry data indicates significant revenue and profit opportunities in high-service, customer-intimate industry segments where low-cost, offshore providers don't align well to customer needs."
 

Columns

Eastern-US: China’s New Competitor?

Parity emerges among EMS Factories from Asia, Mexico and the US.

For the first time in years we see parity in the Eastern US among EMS factories from Asia, Mexico and the US. This EMS market condition will permit American OEMs (the EMS industry refers to OEMs as customers) to have more EMS pathways to choose from. Now more than ever, such EMS assignments will require deeper investigation relating to the OEMs’ evaluation of manufacturing strategies.

Read more...
 
The Human Touch

For those who count on the electronics industry for big feats, it’s been a remarkable couple of years.

Read more...
 

Features

Advances in Concentration Monitoring and Closed-Loop Control

Contaminated bath water skews refractive index results. New technology can accurately measure aqueous cleaning agent concentration.

Read more...
 
Circuits Disassembly: Materials Characterization and Failure Analysis

A systematic approach to nonconventional methods of encapsulant removal.

Read more...
 

Search

Search

Login

CB Login

Language

Language

English French German Italian Portuguese Russian Spanish
 

Products

Panasonic Debuts PanaCIM Maintenance with Augmented Reality
PanaCIM Maintenance with Augmented Reality software provides instant communication and information to factory technicians -- when and where it is needed -- so they can respond to factory needs more...