EXHIBIT 99-1
FOR IMMEDIATE RELEASE:
CALIFORNIA AMPLIFIER REPORTS FY 2003 FOURTH QUARTER
AND YEAR END RESULTS
CAMARILLO, CALIF., APRIL 22, 2003 --- California Amplifier, Inc. (Nasdaq: CAMP)
today reported results for its fourth quarter and fiscal year ended February 28,
2003.
Sales for the fourth quarter of fiscal 2003 were $26.1 million, compared to
$22.5 million for the fourth quarter of the prior year. Income from continuing
operations for the fourth quarter was $971,000, or $0.06 per diluted share,
compared to $966,000, or $0.07 per diluted share for the fourth quarter of
fiscal year 2002.
Sales for fiscal year 2003 were $100.0 million, compared to $100.7 million for
fiscal year 2002. Income from continuing operations for fiscal year 2003 was
$5.2 million, or $0.35 per diluted share, compared to $2.9 million, or $0.21 per
diluted share for fiscal year 2002.
Fred Sturm, President and Chief Executive Officer commented, "In light of a
continued weak economic environment, we are pleased with our overall financial
performance for both fiscal year 2003 and the most recent quarter. Our primary
markets are extremely competitive and our employees responded well to the
ongoing challenge of maintaining our competitive position during the year."
Mr. Sturm added, "We continue our pursuit of new market opportunities that
leverage our core RF design and manufacturing expertise. The Company is
currently evaluating the best means to effectively bring to market RASTER(TM), a
recently announced smart antenna technology which has the potential to
significantly improve the performance of 802.11 networks. In addition, the
Company believes that its continued development of broadband wireless products
for licensed band applications will assist telecom service providers in reaching
a suitable solution for broad scale deployment. We are encouraged that our
portable customer premise equipment recently achieved FCC-type certification and
is currently undergoing product interoperability testing with our technology
partner, Navini Networks. California Amplifier has received a seed order for
this product from a customer in South Asia."
"Results in the first quarter of fiscal 2004 are expected to be impacted by a
recent reduction in demand for certain advanced satellite reception products as
well as slower than expected industry subscriber growth," stated Mr. Sturm. "In
addition, intense price competition has placed significant pressure on our
overall gross margins. Based on our current market outlook we estimate fiscal
2004 first quarter revenue in the range of $17 to $20 million and a loss in the
range of $0.03 to $0.06 per diluted share. We are currently reviewing our
operations to more closely align our cost structure with expected near-term
revenue. We remain optimistic that the Company's satellite markets will improve
in the quarters ahead."
ABOUT CALIFORNIA AMPLIFIER, INC.
California Amplifier designs, manufactures and markets a broad line of
integrated microwave solutions used primarily in conjunction with satellite
television and terrestrial broadband wireless applications. The Company's
satellite business unit designs and markets reception components for the Direct
Broadcast Satellite television market as well as a full line of consumer and
commercial products for video and data reception. The wireless access business
unit designs and markets integrated wireless solutions for video, voice and data
applications. California Amplifier is an ISO 9001 certified company. For
additional information, visit California Amplifier's web site at www.calamp.com.
Statements in this release about the Company's future financial performance,
customer relationships, initiatives to develop innovative wireless solutions,
and the market potential of new products are forward-looking statements and are
subject to risks and uncertainties that could cause actual results to differ
materially from expectations. Words such as "may," "will," "expects," "intends,"
"plans," "believes," "seeks," "could," "optimistic," "potential," "estimates"
and variations of these words and similar expressions are intended to identify
forward-looking statements. Factors that could impact California Amplifier's
future results include changes in product demand and market growth rates, the
effect of competition, pricing pressures, supplier constraints, manufacturing
yields, market acceptance of new products and the viability and market
acceptance of new technologies. Although the Company believes the expectations
reflected in such forward-looking statements are based upon reasonable
assumptions, it can give no assurance that its expectations will be attained.
The Company undertakes no obligation to update or revise any forward-looking
statements, whether as a result of new information, future events or otherwise.
More information about California Amplifier's risks is available in the
Company's annual report on Form 10-K and other filings made from time to time
with the Securities and Exchange Commission."
For more information, contact:
Crocker Coulson Rick Vitelle
Partner Chief Financial Officer
Coffin Communications Group California Amplifier, Inc.
(818) 789-0100 (805) 987-9000
crocker.coulson@coffincg.com
[TABLES FOLLOW]
CONSOLIDATED STATEMENTS OF INCOME
(unaudited, in thousands, except per share data)
Three months ended Year ended
February 28, February 28,
------------------------- ---------------------------
2003 2002 2003 2002
- ---------------------------------------------------------------------------------------------------------------------
Sales $26,071 $22,503 $100,044 $100,715
Cost of sales 22,115 18,113 79,511 78,342
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Gross profit 3,956 4,390 20,533 22,373
Research and development 1,167 1,552 5,982 7,337
Selling 617 146 2,560 3,456
General and administrative 777 1,209 3,781 6,321
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Operating income 1,395 1,483 8,210 5,259
Non-operating expenses (56) (150) (215) (1,078)
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Income before taxes 1,339 1,333 7,995 4,181
Provision for income taxes (368) (367) (2,835) (1,307)
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Income from continuing operations 971 966 5,160 2,874
Income from discontinued operations,
net of tax - - - 1,590(A)
- --------------------------------------------------------------------------------------------------------------------
Net income $ 971 $ 966 $ 5,160 $ 4,464
====================================================================================================================
Net income per share:
Continuing operations Basic $ .07 $ .07 $ .35 $ .21
Diluted $ .06 $ .07 $ .35 $ .21
Discontinued operations Basic $ - $ - $ - $ .12
Diluted $ - $ - $ - $ .11
Total Basic $ .07 $ .07 $ .35 $ .33
Diluted $ .06 $ .07 $ .35 $ .32
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Shares used in per share
calculations: Basic 14,740 13,738 14,639 13,727
Diluted 14,960 14,054 14,870 13,979
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SALES BY PRODUCT LINE:
Three months ended Year ended
February 28, February 28,
------------------------- --------------------------
2003 2002 2003 2002
- --------------------------------------------------------------------------------------------------------------------
Satellite Products $23,880 $19,764 $ 88,437 $ 78,899
Wireless Access Products 2,191 2,739 11,607 21,816
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Total $26,071 $22,503 $100,044 $100,715
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(A) Includes a gain of $1,615 on the sale of Micro Pulse, Inc.
CALIFORNIA AMPLIFIER, INC.
CONSOLIDATED BALANCE SHEETS
(IN THOUSANDS)
FEBRUARY 28, FEBRUARY 28,
2003 2002
- ---------------------------------------------------------------------------------------------------------------------------
ASSETS
Current assets:
Cash and cash equivalents $ 21,947 $ 23,156
Accounts receivable, net 16,053 8,219
Inventories 12,862 9,472
Deferred income tax assets 1,130 3,580
Prepaid expenses and other current assets 1,100 1,312
- ---------------------------------------------------------------------------------------------------------------------------
Total current assets 53,092 45,739
Property and equipment, at cost, net of
accumulated depreciation and amortization 9,322 7,375
Goodwill, net of amortization 20,938 3,287
Deferred income tax assets, less current portion 5,400 -
Other assets 845 287
- --------------------------------------------------------------------------------------------------------------------------
$ 89,597 $ 56,688
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Current portion of long-term debt $ 3,005 $ 917
Accounts payable 11,553 5,713
Accrued liabilities 3,847 8,850
- ---------------------------------------------------------------------------------------------------------------------------
Total current liabilities 18,405 15,480
Long-term debt, net of current portion 12,569 3,628
Stockholders' equity:
Common stock 147 136
Additional paid-in capital 43,441 27,569
Retained earnings 15,836 10,676
Accumulated other comprehensive loss (801) (801)
- ---------------------------------------------------------------------------------------------------------------------------
Total stockholders' equity 58,623 37,580
- ---------------------------------------------------------------------------------------------------------------------------
$ 89,597 $ 56,688
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