Attached files
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| 8-K - TECHNICAL COMMUNICATIONS CORPORATION 8-K - TECHNICAL COMMUNICATIONS CORP | a51159140.htm |
Exhibit 99.1
Technical Communications Corporation Reports Results for the Three and Nine Months Ended June 27, 2015
CONCORD, Mass.--(BUSINESS WIRE)--August 10, 2015--Technical Communications Corporation (NasdaqCM: TCCO) today announced its results for the three and nine month periods ended June 27, 2015. For the quarter ended June 27, 2015, the Company reported a net loss of $(134,000), or $(0.07) per share, on revenue of $1,756,000, as compared to a net loss of $(983,000), or $(0.54) per share, on revenue of $778,000 for the quarter ended June 28, 2014. For the nine months ended June 27, 2015, the Company reported a net loss of $(652,000), or ($0.35) per share, on revenue of $5,011,000, compared to a net loss of ($2,266,000), or ($1.23) per share, on revenue of $4,580,000 for the nine months ended June 28, 2014.
Commenting on corporate performance, Carl H. Guild, Jr., President and Chief Executive Officer of TCC, said, “Revenue in the third fiscal quarter was largely due to shipping the balance of a previously announced $3.3 million contract for our DSD 72A-SP military bulk encryption system to a customer in Egypt. We also sold our DSP 9000 radio encryption system to a domestic contractor for deployment into Afghanistan, and our Cipher X® 7211 IP encryption system to customers domestically and internationally.”
“While the Company has a pipeline of potential contracts and new initiatives in process, the timeframe of realizing these opportunities is unknown due to long government procurement cycles and fluctuating market conditions. Delays combined with unpredictable order fulfillment lead times are expected to negatively affect profitability for the year,” added Guild.
About Technical Communications Corporation
For over 50 years,
TCC has specialized in superior-grade secure communications systems and
customized solutions, supporting our CipherONE® best-in-class
criteria, to protect highly sensitive voice, data and video transmitted
over a wide range of networks. Government entities, military agencies
and corporate enterprises in 115 countries have selected TCC's proven
security to protect their communications. Learn more: www.tccsecure.com.
Statements made in this press release or as may otherwise be incorporated by reference herein constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include but are not limited to statements regarding anticipated operating results, future earnings, and the ability to achieve growth and profitability. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, including but not limited to the effect of foreign political unrest; domestic and foreign government policies and economic conditions; future changes in export laws or regulations; changes in technology; the ability to hire, retain and motivate technical, management and sales personnel; the risks associated with the technical feasibility and market acceptance of new products; changes in telecommunications protocols; the effects of changing costs, exchange rates and interest rates; and the Company's ability to secure adequate capital resources. Such risks, uncertainties and other factors could cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. For a more detailed discussion of the risks facing the Company, see the Company’s filings with the Securities and Exchange Commission, including its Quarterly Reports on Form 10-Q for the quarters ended March 28, 2015 and December 27, 2014, and its Annual Report on Form 10-K for the fiscal year ended September 27, 2014 and the “Risk Factors” section included therein.
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Technical Communications Corporation |
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Condensed consolidated statements of operations |
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Three Months Ended |
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(Unaudited) |
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06/27/2015 |
06/28/2014 |
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| Net sales | $ | 1,756,000 | $ | 778,000 | ||||||||
| Gross profit | 1,149,000 | 466,000 | ||||||||||
| S, G & A expense | 759,000 | 776,000 | ||||||||||
| Product development costs | 563,000 | 585,000 | ||||||||||
| Operating loss | (173,000 | ) | (895,000 | ) | ||||||||
| Income tax (benefit) provision | (35,000 | ) | 96,000 | |||||||||
| Net loss | (134,000 | ) | (983,000 | ) | ||||||||
| Net loss per share: | ||||||||||||
| Basic | $ | (0.07 | ) | $ | (0.54 | ) | ||||||
| Diluted | $ | (0.07 | ) | $ | (0.54 | ) | ||||||
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Nine Months Ended |
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(Unaudited) |
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06/27/2015 |
06/28/2014 |
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| Net sales | $ | 5,011,000 | $ | 4,580,000 | ||||||||
| Gross profit | 3,484,000 | 3,141,000 | ||||||||||
| S, G & A expense | 2,280,000 | 2,325,000 | ||||||||||
| Product development costs | 1,905,000 | 2,112,000 | ||||||||||
| Operating loss | (701,000 | ) | (1,296,000 | ) | ||||||||
| Income tax (benefit) provision | (35,000 | ) | 990,000 | |||||||||
| Net loss | (652,000 | ) | (2,266,000 | ) | ||||||||
| Net loss per share: | ||||||||||||
| Basic | $ | (0.35 | ) | $ | (1.23 | ) | ||||||
| Diluted | $ | (0.35 | ) | $ | (1.23 | ) | ||||||
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Condensed consolidated balance sheets |
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06/27/2015 |
09/27/2014 |
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(Unaudited) |
(derived from audited |
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| Cash and marketable securities | $ | 3,581,000 | $ | 4,938,000 | ||||||
| Accounts receivable, net | 1,526,000 | 403,000 | ||||||||
| Inventory | 2,452,000 | 2,721,000 | ||||||||
| Other current assets |
221,000 |
210,000 |
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| Total current assets | 7,780,000 | 8,272,000 | ||||||||
| Marketable securities | 875,000 | 1,105,000 | ||||||||
| Property and equipment, net |
279,000 |
432,000 |
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| Cost method investment |
275,000 |
- |
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| Total assets |
$ |
9,209,000 |
$ |
9,809,000 |
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| Accounts payable | 239,000 | 173,000 | ||||||||
| Accrued expenses and other current liabilities |
442,000 |
568,000 |
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| Total current liabilities | 681,000 | 741,000 | ||||||||
| Total stockholders’ equity |
8,528,000 |
9,068,000 |
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| Total liabilities and stockholders’ equity |
$ |
9,209,000 |
$ |
9,809,000 |
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CONTACT:
Technical Communications Corporation
Michael P. Malone,
978-287-5100
Chief Financial Officer
www.tccsecure.com