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CalAmp 2Q Profit More Than Doubles

*CAMP was a big gainer in after-hours, closing up by +14.86%...

CalAmp 2Q Profit More Than Doubles
Thursday October 6, 5:21 pm ET
CalAmp Second-Quarter Profit More Than Doubles on Improved Gross Margins, Shares Up

OXNARD, Calif. (AP) -- CalAmp Corp., which makes microwave amplification and conversion components, said Thursday that second-quarter net income more than doubled, thanks to improved gross margins.

Net income for the quarter ended Aug. 31 rose to $3.7 million, or 16 cents per share, from $1.7 million, or 8 cents per share.

Revenue rose 13.4 percent to $57.7 million from $50.8 million, and gross profit was $13.4 million, or 23.3 percent of revenue, compared with $10.3 million or 20.3 percent of revenue, last year.

CalAmp attributed the higher gross profit and gross margin primarily to increased sales of higher-margin products of the Products Division and ongoing actions taken to improve the financial performance of the Solutions Division.

Looking ahead, CalAmp expects third-quarter revenue of $60 million to $68 million and earnings per share of 17 cents to 21 cents per share.

For the full year, the company predicts revenue growth of about 10 percent from last year.

Shares of the company surged 16 percent in after-hours trade, to $9.45. The shares ended the regular session on the Nasdaq at $8.14, down 6 cents on the day. Over the past 52 weeks, the stock has traded in a range of $5.23 to $10.18.


LINK: http://biz.yahoo.com/ap/051006/earns_calamp.html?.v=1