Attached files
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| 8-K - CURRENT REPORT - TRIO-TECH INTERNATIONAL | tti_8k.htm |
Exhibit
99.1
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LOS
ANGELES
SINGAPORE
KUALA
LUMPUR
INDONESIA
BANGKOK
SUZHOU
TIANJIN
CHONGQING
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FOR IMMEDIATE RELEASE
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Company
Contact:
Investor Contact:
A.
Charles
Wilson
Berkman Associates
Chairman
(310) 477-3118
(818)
787-7000
info@BerkmanAssociates.com
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Trio-Tech
Reports First Quarter Fiscal 2019 Results
Van Nuys, CA -- November 13, 2018
– Trio-Tech International
(NYSE MKT: TRT) today announced financial results for the
first quarter of fiscal 2019.
For the
three months ended September 30, 2018, revenue decreased 8% to
$10,045,000 compared to revenue of $10,945,000 for the first
quarter of fiscal 2018. Manufacturing revenue decreased to
$3,637,000 from $4,765,000 last year, primarily due to lower orders
from customers in Suzhou, China and Singapore. Semiconductor
testing services revenue decreased to $4,437,000 compared to
$4,605,000 last year, primarily reflecting lower orders from
customers in Tianjin, China. Distribution revenue increased to
$1,944,000 for this year's first quarter from $1,536,000 for the
first quarter last year, driven by increased orders from customers
in Singapore.
Gross
margin for this year's first quarter declined to $2,101,000, or 21%
of revenue, compared to $2,760,000, or 25% of revenue, a year
earlier.
Operating expenses
for the first quarter of fiscal 2019 decreased 11% to $1,978,000,
compared to $2,213,000, for the first quarter of fiscal
2018.
Net
income attributable to Trio-Tech common shareholders for the first
quarter of fiscal 2019 was $65,000, or $0.02 per diluted share.
This compares to net income attributable to Trio-Tech shareholders
for the first quarter of fiscal 2018 of $575,000, or $0.16 per
diluted share.
Shareholders'
equity at September 30, 2018 was $23,167,000, or $6.42 per
outstanding share, compared to $23,501,000, or $6.61 per
outstanding share, at June 30, 2018. There were approximately
3,608,055 common shares outstanding at September 30, 2018, compared
to 3,553,055 common shares outstanding at June 30,
2018.
CEO
Comments
S.W.
Yong, Trio-Tech's CEO, said, "Our first quarter results were
affected by lower revenue in our manufacturing and testing
operations, as well as an unfavorable manufacturing product mix.
These factors offset higher revenue and margins in our distribution
segment. This year's first quarter results are not indicative of
our expectations for Trio-Tech's financial performance for the
remainder of the fiscal year. We are optimistic regarding our
opportunities for improved results, and we are working diligently
with our current and prospective customers to achieve our goals for
growth and profitability."
(more)
16139
Wyandotte Street, Van Nuys, CA 91406, USA ● TEL: (818)
787-7000 ● FAX (818) 787-9130
Trio-Tech
Reports First Quarter Fiscal 2019 Results
November 13,
2018
Page
Two
About Trio-Tech
Established in 1958 and headquartered in Van Nuys,
California, Trio-Tech International is a diversified business group
with interests in semiconductor testing services, manufacturing and
distribution of semiconductor testing equipment, and real estate.
Further information about Trio-Tech's semiconductor products and
services can be obtained from the Company's Web site at
www.triotech.com,
www.universalfareast.com,
and www.ttsolar.com.
Forward Looking Statements
This press release contains statements that are forward looking
statements within the meaning of the Private Securities Litigation
Reform Act of 1995 and may contain forward looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, and assumptions regarding future activities and results of
operations of the Company. In light of the "safe harbor" provisions
of the Private Securities Litigation Reform Act of 1995, the
following factors, among others, could cause actual results to
differ materially from those reflected in any forward looking
statements made by or on behalf of the Company: market acceptance
of Company products and services; changing business conditions or
technologies and volatility in the semiconductor industry, which
could affect demand for the Company's products and services; the
impact of competition; problems with technology; product
development schedules; delivery schedules; changes in military or
commercial testing specifications which could affect the market for
the Company's products and services; difficulties in profitably
integrating acquired businesses, if any, into the Company; risks
associated with conducting business internationally and especially
in Asia, including currency fluctuations and devaluation, currency
restrictions, local laws and restrictions and possible social,
political and economic instability; changes in U.S. and global
financial and equity markets, including market disruptions and
significant interest rate fluctuations; and other economic,
financial and regulatory factors beyond the Company's control.
Other than statements of historical fact, all statements made in
this Quarterly Report are forward looking, including, but not
limited to, statements regarding industry prospects, future results
of operations or financial position, and statements of our intent,
belief and current expectations about our strategic direction,
prospective and future financial results and condition. In some
cases, you can identify forward looking statements by the use of
terminology such as "may," "will," "expects," "plans,"
"anticipates," "estimates," "potential," "believes," "can impact,"
"continue," or the negative thereof or other comparable
terminology. Forward looking statements involve risks and
uncertainties that are inherently difficult to predict, which could
cause actual outcomes and results to differ materially from our
expectations, forecasts and assumptions.
(tables
attached)
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TRIO-TECH INTERNATIONAL AND SUBSIDIARIES
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CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
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|||||
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UNAUDITED (IN THOUSANDS, EXCEPT EARNINGS PER SHARE)
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|||||
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|||||
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Three Months Ended
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September 30
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Revenue
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2018
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2017
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Manufacturing
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$3,637
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$4,765
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Testing services
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4,437
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4,605
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Distribution
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1,944
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1,536
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Others
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27
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39
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10,045
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10,945
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Cost of Sales
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Cost of products sold
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2,857
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3,649
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Cost of testing services rendered
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3,383
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3,139
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Distribution
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1,686
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1,368
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Others
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18
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29
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7,944
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8,185
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Gross Margin
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2,101
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2,760
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Operating Expenses:
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General and administrative
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1,759
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1,839
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Selling
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147
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179
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Research and development
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72
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184
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Loss
on
disposal of property, plant and equipment
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--
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11
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Total operating expenses
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1,978
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2,213
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Income from Operations
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123
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547
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Other Income (Expenses)
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Interest expenses
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(78)
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(58)
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Other income, net
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43
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158
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Total other (Expenses)
income
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(35)
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100
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Income from Continuing Operations before Income Taxes
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88
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647
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Income Tax Expense
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(74)
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(42)
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Income from Continuing Operations before Non-controlling Interest, net of tax
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14
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605
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(Loss) from discontinued operations, net of tax
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(8)
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(3)
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NET INCOME
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6
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602
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Less: Net income attributable to the non-controlling interest
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(59)
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27
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Net Income attributable to Trio-Tech International
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$65
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$575
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Net Income Attributable to Trio-Tech International:
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Income from continuing operations, net of tax
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69
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576
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Loss from discontinued operations, net of tax
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(4)
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(1)
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Net Income Attributable to Trio-Tech International
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$65
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$575
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Earnings per share
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Basic earnings per share
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$0.02
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$0.16
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Diluted earnings per share
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$0.02
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$0.16
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Weighted Average Shares Outstanding - Basic
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3,608
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3,533
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Weighted Average Shares Outstanding - Diluted
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3,732
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3,673
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TRIO-TECH INTERNATIONAL AND SUBSIDIARIES
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CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
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|||||
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UNAUDITED (IN THOUSANDS, EXCEPT EARNINGS PER SHARE)
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Three Months Ended
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September 30,
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2018
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2017
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Comprehensive Income Attributable to Trio-Tech International:
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Net income
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$6
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$602
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Foreign currency translation, net of tax
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(539)
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375
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Comprehensive (Loss)
Income
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(533)
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977
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Less: comprehensive (loss)
income attributable to non-controlling interests
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(135)
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27
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comprehensive (loss)
Income Attributable to Trio-Tech International
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$(398)
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$950
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TRIO-TECH INTERNATIONAL AND SUBSIDIARIES
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||||
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CONDENSED
CONSOLIDATED BALANCE SHEETS
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(IN THOUSANDS, EXCEPT NUMBER OF SHARES)
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||||
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Sep. 30,
2018
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June 30,
2018
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ASSETS
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(unaudited)
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CURRENT ASSETS:
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Cash and cash equivalents
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$7,101
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$6,539
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Short-term deposits
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1,011
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653
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Trade accounts receivable, net
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8,121
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7,747
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Other receivables
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889
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881
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Inventories, net
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2,386
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2,930
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Prepaid expenses and other current assets
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330
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208
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Assets held for sale
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486
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91
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|
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Total current assets
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20,324
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19,049
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Deferred tax assets
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406
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400
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Investment properties, net
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693
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1,146
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Property, plant and equipment, net
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12,267
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11,935
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Other assets
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1,664
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2,249
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Restricted term deposits
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1,685
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1,695
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Total non-current assets
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16,715
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17,425
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TOTAL ASSETS
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$37,039
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$36,474
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LIABILITIES AND SHAREHOLDERS’ EQUITY
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CURRENT LIABILITIES:
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Lines of credit
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$2,133
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$2,043
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Accounts payable
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2,939
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3,704
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Accrued expenses
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3,571
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3,172
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Income taxes payable
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255
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285
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Current portion of bank loans payable
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478
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367
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Current portion of capital leases
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248
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250
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|
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Total current liabilities
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9,624
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9,821
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Bank loans payable, net of current portion
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2,647
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1,437
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Capital leases, net of current portion
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450
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524
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Deferred tax liabilities
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359
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327
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Income
taxes payable
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756
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828
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Other non-current liabilities
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36
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36
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|
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Total non-current liabilities
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4,248
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3,152
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TOTAL LIABILITIES
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$13,872
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$12,973
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EQUITY
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TRIO-TECH INTERNATIONAL'S SHAREHOLDERS' EQUITY:
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Common stock, no par value, 15,000,000 shares authorized;
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3,608,055 and
3,553,055 issued and outstanding at
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September
30, 2018 and June 30, 2018,
respectively
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$11,222
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$11,023
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Paid-in capital
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3,251
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3,249
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Accumulated retained earnings
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5,590
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5,525
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Accumulated other comprehensive gain-translation adjustments
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1,719
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2,182
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Total Trio-Tech International shareholders' equity
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21,782
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21,979
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Non-controlling interest
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1,385
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1,522
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TOTAL EQUITY
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$23,167
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$23,501
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TOTAL LIABILITIES AND EQUITY
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$37,039
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$36,474
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