American Science & Engineering [ASEI]
1Q16 1Q15
Sales $31.4M $35.5M
Net Inc. ($515K, 0.07) $1.5M, 0.18
AS&E swung to a loss due to a one-time $1.7 million, 15 cents earnings per share, restructuring charge related to a corporate realignment into two focused business units, Detection Products and Detection Services. The realignment, announced in June, which includes workforce reductions and other cost savings, is expected to reduce annual operating expenses by $6 million. Sales fell 12 percent mainly on a $4.5 million decline n mobile cargo inspection systems. Revenue by product line was $8.9 million for cargo, $7.1 million for mobile cargo, $2.5 million for parcel and personnel, $12.3 million for service, and $618,000 for other. Bookings of $45.9 million were the highest in five quarters and were driven by orders for Z Backscatter Van mobile inspection systems from customers in the U.S. government and Asia Pacific region, and from work in the Detection Services division, says Chuck Dougherty, AS&E president and CEO. The company has also been getting first time orders for its MINI Z portable screening system from four government agencies, including two within the Defense Department, and public safety and security customers in the European Union, Middle East, and Asia Pacific regions, he says. So far customers in 21 countries have ordered MINI Z’s, he adds. Backlog at the end of the quarter stood at $152.8 million, up from $138.3 million at the end of the fourth quarter. Benchmark Co. security analyst Josephine Millward says in a note to clients that while the first quarter results were weaker than expected, the strong bookings and improved backlog combined with some of the company’s new products “provide AS&E with visibility for recovery in FY ’16.”