Daktronics Shares Plunge 10% On Weak Q4 - Update

(RTTNews) - Shares of Daktronics Inc. (DAKT) fell ten percent on the Nasdaq after the electronic display system maker reported flat earnings for the fourth-quarter, short of analysts' estimates, hurt by higher tax expenses. Meanwhile, revenues for the quarter increased, but still fell short of Wall Street's expectations.

Brookings, South Dakota-based Daktronics fourth-quarter profit was $1.83 million or $0.04 per share, flat compared to last year's profit of $1.84 million or $0.04 per share. On average, three analysts polled by Thomson Reuters expected earnings of $0.14 per share for the quarter. Analysts' estimates typically exclude special items.

Daktronics, which makes electronic billboards and scoreboards, said sales for the fourth quarter grew to $136.2 million from $124.5 million a year ago, helped largely by increase in orders and a larger backlog at the beginning of the quarter. However, revenues fell short of analysts mean estimate of $139.0 million for the quarter.

Order volume was up 20.9 percent year-over-year, due to order increases in the Live Events business unit and International business unit.

Income tax expense for the quarter was $5.28 million compared to a income tax benefit of $344 thousand last year.

The company's board has approved a quarterly dividend of $0.10 per share, payable June 13 to shareholders of record on June 2.

DAKT is currently trading at $13.06, down $1.41 or 9.78%, on a volume of 0.5 million shares.