Revenue during the quarter dropped 6.54 percent to $115.72 million from $123.82 million in the previous year period. Gross margin for the quarter expanded 236 basis points over the previous year period to 20.15 percent. Operating margin for the quarter stood at negative 5.99 percent as compared to a negative 4.48 percent for the previous year period.

Operating loss for the quarter was $6.93 million, compared with an operating loss of $5.55 million in the previous year period.

Reece Kurtenbach, chairman, president and chief executive officer stated, “We are having a successful year through the third quarter. Our order volume has increased year over year. Some significant awards during the third quarter of fiscal 2017 included Nevada Department of Transportation's Project NEON, University of Wisconsin, London's Piccadilly Circus, and LA Memorial Coliseum. This demonstrates the strength of our broad solution offerings and value offered to customers in our global markets. While our Live Events orders are down year over year, our overall win ratio remained consistent indicating the market had lighter activity during fiscal 2017. We expect Live Events activity to increase in the coming quarters. Our third quarter is historically lighter for sales and profits due to the seasonality of our sports business, construction cycles, and the decrease in production days due to holidays. This trend continued which resulted in lower sales and an operating loss for the quarter; however, we were pleased that our gross margins improved. On a year-to-date basis, our operating profit has improved."

The company has spent $11.42 million cash to meet investing activities during the nine month period as against cash outgo of $14.29 million in the last year period. It has incurred net capital expenditure of $6.54 million on net basis during the nine month period, down 50.72 percent or $6.73 million from year ago period.

The company has spent $13.23 million cash to carry out financing activities during the nine month period as against cash outgo of $12.90 million in the last year period.

Cash and cash equivalents stood at $48.38 million as on Jan. 28, 2017, up 52.72 percent or $16.70 million from $31.68 million on Jan. 30, 2016.

Working capital declines
Daktronics, Inc has witnessed a decline in the working capital over the last year. It stood at $131.65 million as at Jan. 28, 2017, down 8.77 percent or $12.65 million from $144.30 million on Jan. 30, 2016. Current ratio was at 2.10 as on Jan. 28, 2017, down from 2.25 on Jan. 30, 2016.

Cash conversion cycle (CCC) has decreased to 58 days for the quarter from 94 days for the last year period. Days sales outstanding were almost stable at 69 days for the quarter, when compared with the last year period.

Days inventory outstanding has decreased to 30 days for the quarter compared with 62 days for the previous year period. At the same time, days payable outstanding went up to 41 days for the quarter from 37 for the same period last year.