Raven's EMS Sales Fall 14% in Q4
SIOUX FALLS, SD -- Raven Industries reported January quarter sales fell on weaker economic conditions in the company's end-markets.
For its fiscal fourth quarter, sales fell 7% to $55.8 million. Net income rose 25% due to cost-cutting measures.
Electronic Systems' sales in the fourth quarter were $13.8 million, down 14% year-over-year. Operating income fell 13% to $2 million.
For the year, the company's sales fell 15% to $237.8 million on lower revenues despite a slight increase in Electronic Systems. Net income fell 7% to $28.6 million. Electronic Systems' sales rose 2% to $63.5 million, while operating income rose 52% percent, to $9 million.
The company said avionics deliveries, which started the year strong and then slowed, will probably remain slower in the coming year. Secure communication devices for government agencies followed a similar pattern and electronic bed controls were slightly down, the firm said.
Without providing specific guidance, Raven said it does not see a much stronger economy in 2010. "Business spending remains soft as consumers continue to exercise caution," CEO Ron Moquist said.
