Saratoga Springs, NY, September 14, 2017- Espey Mfg. & Electronics Corp. (NYSE MKT: ESP) announces results for its fiscal year and fourth quarter, ended June 30, 2017.
For the fiscal year ended June 30, 2017, the Company reported net sales of $22,521,012, compared with $27,471,365 for the fiscal year ended June 30, 2016. Net income decreased to $1,135,736, $0.49 per diluted share for the year, compared with net income of $3,175,801, $1.38 per diluted share, for the fiscal year ended June 30, 2016. At June 30, 2017, the sales order backlog was $43.1 million, compared to last year’s backlog of $39.1 million at June 30, 2016.
For the fourth quarter ended June 30, 2017, net sales decreased to $5,460,600 compared with last year’s fourth quarter net sales of $6,731,987. The net income for the fourth quarter ended June 30, 2017 was $191,659, $0.08 per diluted share, compared with net income of $710,376, $0.30 per diluted share, for the corresponding period last year.
Also, new orders for the fiscal year ended June 30, 2017 were $26.7 million compared with $30.2 million for the corresponding period last year.
Mr. Patrick Enright, President and CEO, commented,
Our performance in fiscal year 2017 was consistent with the guidance provided throughout the year. The decrease in net sales and the attendant net income is primarily due to the slowdown in the transportation sector and timing of the first production shipments of the fully qualified Tactical Power Supply (TPS) for the U.S. Army. Remaining profitable at $0.49 per share was an achievement in a challenging year.
Nevertheless, new orders for fiscal year 2017 were strong and balanced, with a mix of production and development contracts. The backlog of $43 million included new, significant work for engineering associated with a foundational program for an existing customer, which is consistent with our overall strategy. We have, and will continue to invest in the development of new products that will provide a stable platform for growth in the coming years.
Furthermore, the Espey Board of Directors has declared a cash dividend. The regular first quarter dividend for the fiscal year ending June 30, 2018 is $0.25 per share. The dividend will be payable on September 29, 2017, to all shareholders of record at September 25, 2017.
Espey’s primary business is the development, design, and production of specialized military and industrial power supplies/transformers. The Company can be found on the internet at www.espey.com.
For further information, contact Mr. Patrick Enright, President/CEO or Mr. David O’Neil, CFO at (518) 245-4400.
This press release may contain certain statements that are “forward-looking statements” and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements represent the Company’s current expectations or beliefs concerning future events. The matters covered by these statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those set forth in the forward-looking statements. The Company wishes to caution readers not to place undue reliance on any such forward-looking statements, which speak only as of the date made.