Giga-tronics Incorporated (GIGA) saw its loss narrow to $0.40 million, or $0.04 a share for the quarter ended Sep. 24, 2016. In the previous year period, the company reported a loss of $1.31 million, or $0.20 a share. On the other hand, adjusted net loss for the quarter narrowed to $0.34 million, or $0.04 a share from a loss of $1.16 million or $0.18 a share, a year ago. Revenue during the quarter surged 43.42 percent to $4.39 million from $3.06 million in the previous year period. Gross margin for the quarter contracted 63 basis points over the previous year period to 28 percent. Operating margin for the quarter stood at negative 8.74 percent as compared to a negative 42.15 percent for the previous year period.
Operating loss for the quarter was $0.38 million, compared with an operating loss of $1.29 million in the previous year period.
Dr. William J. Thompson, the Company’s Acting Chief executive officer, stated “our second quarter and first half operating results reflect our continuing focus on the electronic warfare market segment with our Advanced Signal Generator product platform and RADAR filters for military aircraft while moving away from our traditional markets and reducing our cost structure. While many challenges remain, we believe our ASG product platform and high performance YIG-based filters for the EW market will position us for greater future sales growth with higher margins and ultimately improved shareholder value”.
Working capital declines
Giga-tronics Incorporated has witnessed a decline in the working capital over the last year. It stood at $1.15 million as at Sep. 24, 2016, down 7.48 percent or $0.09 million from $1.24 million on Sep. 26, 2015. Current ratio was at 1.13 as on Sep. 24, 2016, down from 1.20 on Sep. 26, 2015. Cash conversion cycle (CCC) has decreased to 82 days for the quarter from 162 days for the last year period. Days sales outstanding went down to 45 days for the quarter compared with 69 days for the same period last year.
Days inventory outstanding has decreased to 79 days for the quarter compared with 170 days for the previous year period. At the same time, days payable outstanding went down to 42 days for the quarter from 77 for the same period last year.
Debt comes down significantly
Giga-tronics Incorporated has recorded a decline in total debt over the last one year. It stood at $1.12 million as on Sep. 24, 2016, down 38.76 percent or $0.71 million from $1.84 million on Sep. 26, 2015. Total debt was 9.54 percent of total assets as on Sep. 24, 2016, compared with 22.23 percent on Sep. 26, 2015. Debt to equity ratio was at 0.43 as on Sep. 24, 2016, down from 1.20 as on Sep. 26, 2015. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
