Daktronics Q2 Profit Surges; Results Beat View - Quick Facts

(RTTNews) - Daktronics, Inc. (DAKT) on Tuesday reported a surge in profit for the second quarter from last year on higher sales. Both revenue and earnings per share for the quarter beat analysts' estimates.

The company's second-quarter net income was $9.02 million, or $0.20 per share, up from $3.17 million or $0.07 per share in the year-ago period.

On average, analysts polled by Thomson Reuters expect the company to report earnings of $0.11 per share for the quarter. Analysts' estimates typically exclude special items.

Net sales for the quarter rose 7.8 percent to $169.99 million from $157.67 million in the year-ago period. Analysts had a consensus revenue estimate of $161.50 million.

The company noted that High School Park and Recreation, Live Events, Transportation and International business unit's sales all increased quarter over quarter primarily because of higher production rates of large projects due to natural large project volatility and an increase in customer demand.

Second-quarter orders were $116.9 million, down 13.8 percent from $135.6 million in the same period last year. Backlog at the end of the quarter was $142 million, down from $184 million a year earlier.

Looking ahead, Reece Kurtenbach, chairman, president and chief executive officer said, "While orders and backlog as compared to last year at this time are slightly down, we are optimistic about continued growth through the activity and interest in the worldwide marketplace for desired usage of digital technology."

"However, we recognize that there is uncertainty in the global macroeconomic picture; therefore, we are carefully managing our costs through continuous improvement and execution of our processes," Kurtenbach added.