Drexler Technology Corporation, a supplier of PC-based optical memory cards and related system software and peripherals, today announced results for its fiscal 2000 second quarter and first half ended September 30, 1999.
Net income for the three months ended September 30, 1999, was $1,387,000, or 14 cents per share diluted, compared with $993,000, or 10 cents per share diluted, for last year’s second quarter. Fiscal 2000 second-quarter revenues increased to $4,252,000 from $3,661,000 for the year-earlier quarter.
For the six months ended September 30, 1999, net income was $2,232,000, or 23 cents per share diluted, versus $1,968,000, or 20 cents per share diluted, for the six months ended September 30, 1998. Revenues for the first six months of fiscal 2000 increased to $7,993,000 from $7,507,000 for last year’s first six months.
At September 30, 1999, the Company’s cash, cash equivalents, and short-term investments totaled approximately $7,056,000 versus approximately $8,066,000 at March 31, 1999. The Company has no debt.
Net income for the quarter and six months included recognition of a portion of the Company’s accumulated income tax benefits under Statement of Financial Accounting Standards No. 109 (SFAS 109), “Accounting for Income Taxes.”
In the second quarter the Company shipped a total of 1,070,000 LaserCard(R) optical memory cards and also built a reserve stockpile of several hundred thousand cards as required by a principal customer. Company president, Richard M. Haddock, remarked, “We congratulate our executive vice president, Dr. Christopher Dyball, and his team for manufacturing a record 500,000 optical memory cards in September for both government and commercial use. This demonstrates our ability to meet the 500,000-cards-per-month manufacturing capability requirement for a five-year procurement program described in an RFP (Request for Proposal) we received in August from the U.S. Immigration and Naturalization Service (INS).”
Based in Mountain View, Drexler Technology Corporation is the world’s leading manufacturer of optical memory cards. Drexler’s wholly owned subsidiary, LaserCard Systems Corporation, develops and markets LaserCard(R) optical memory card systems and related software. At September 30, 1999, there were 9,814,904 shares of Drexler Technology common stock outstanding.
Drexler Technology Corporation and Subsidiaries
Summary Consolidated Statements of Operations (Unaudited)
(In Thousands, Except per Share Data)
THREE MONTHS ENDED SIX MONTHS ENDED
9/30/99 9/30/98 9/30/99 9/30/98
Revenues $ 4,252 $ 3,661 $ 7,993 $ 7,507
Cost of sales 2,357 1,727 4,520 3,692
Operating expenses 1,258 964 2,476 1,925
Other income, net 93 51 179 137
Income tax expense
(benefit) (657) 28 (1,056) 59
Net income $ 1,387 $ 993 $ 2,232 $ 1,968
Net income per share:
Basic $ .14 $ .10 $ .23 $ .20
Diluted $ .14 $ .10 $ .23 $ .20
Shares used in
computing net income
Basic number of
shares: 9,799 9,733 9,797 9,713
Diluted number of
shares 9,856 9,964 9,875 10,056
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