Artesyn reports Q3 2005 financial results
Nov 08, 2005
Artesyn Technologies, Inc. has reported financial results for the third quarter ended September 30, 2005.
Sales for the third quarter of 2005 were $102.0 million compared to $107.0 million for the corresponding quarter in 2004. Net income for the third quarter of 2005 was $4.0 million, or $0.09 per share, compared to net income of $3.6 million, or $0.09 per share in the third quarter of 2004.
Included in net income for the third quarter of 2005 was approximately $0.4 million, or $0.01 per share, of restructuring charges associated with the closure of the Company's manufacturing facility in Hungary. Additionally, the Company realized a net tax benefit of $1.6 million, or $0.03 per share, from the elimination of previously established tax contingencies that are no longer required.
Total orders received during the quarter were $106.1 million, yielding a book-to-bill ratio of 1.04. Sales for the first nine months of 2005 were $312.5 million compared to $309.0 million for the same period last year. Net income for the first nine months of 2005 was $6.0 million, or $0.15 per share, compared to net income of $8.6 million, or $0.22 per share for the same period in 2004.
Commenting on the quarter, Joseph O'Donnell, Artesyn's Chief Executive Officer, stated, "While sales of rectifier and amplifier products contributed to 33% sales growth in our wireless infrastructure division during the quarter, sales were pressured from end of life server programs and certain 3G orders not materializing as expected. Replacement programs, currently in design, for the end of life programs did not overlap to offset the decline in revenue this quarter. We expect these programs to begin production in the first quarter of 2006. Additionally, we continue to expect 3G orders for embedded systems that have been pushed back since the second quarter to materialize in the beginning of next year."