Print
Email
Mesa Laboratories Inc. (MLAB) filed Quarterly Report for the period ended 2011-09-30.
Mesa Laboratories Inc. has a market cap of $126.16 million; its shares were traded at around $38.44 with a P/E ratio of 16.29 and P/S ratio of 3.84. The dividend yield of Mesa Laboratories Inc. stocks is 1.25%. Mesa Laboratories Inc. had an annual average earning growth of 15.1% over the past 10 years. GuruFocus rated Mesa Laboratories Inc. the business predictability rank of 4.5-star.
This is the annual revenues and earnings per share of MLAB over the last 10 years. For detailed 10-year financial data and charts, go to 10-Year Financials of MLAB.
Highlight of Business Operations:
Net sales for the second quarter and first six months of fiscal 2012 increased 19.8 percent and 19.5 percent respectively from fiscal 2011. In real dollars, net sales of $9,291,000 for the quarter and $18,178,000 for the first six months in fiscal 2012 increased $1,537,000 and $2,969,000 respectively from $7,754,000 and $15,209,000 respectively in 2011.Our revenues come from two main sources, which include product revenues and parts and service revenues. Parts and service revenues are derived from on-going repair and recalibration or certification of our products. The certification or recalibration of product is usually a key component of the customer’s own quality system and many of our customers operate in regulated industries, such as food processing or medical and pharmaceutical manufacturing. For this reason, these revenues tend to be fairly stable and grow slowly over time. Also, it is important to note that the Biological Indicator products are disposables and thus do not contribute to the Company’s parts and service revenues. During the first six months of fiscal years 2012 and 2011 our Company had parts and service revenue of $2,223,000 and $2,024,000, respectively. As a percentage of total revenue, parts and service revenues were 12% in 2012 and 13% in 2011.
For the current fiscal quarter, Biological Indicator products sales have increased to $5,076,000 or 30.3 percent from $3,897,000 in the prior year period, and Instrumentation products have increased to $4,215,000 or 9.3 percent from $3,857,000 in the prior year period. For the first six months of fiscal 2012, Biological Indicator Product sales have increased to $9,624,000 or 30.9 percent from $7,352,000 in the prior year period, and Instrumentation sales have increased to $8,554,000 or 8.9 percent from $7,857,000 in the prior year period. For the current quarter and six month periods the increase in Biological Indicator products is chiefly due to the addition of the Apex Laboratories products in late December of last year, a full six months of reportable activity for the Bozeman operations, and organic growth. Organic growth for the current quarter compared to prior year was 16 percent for the existing Biological Indicator products. During the
Our selling and marketing costs tend to be far more variable in relation to sales, although there are various exceptions. Some of these exceptions include the introduction of new products and the mix of international sales to domestic sales. For a product line experiencing introduction of a new product, selling costs will tend to be higher as a percent of sales due to higher advertising costs and sales training programs. Our Company’s international sales are usually discounted and recorded at the net discounted price, so that a change in the mix between international and domestic sales may influence sales and marketing costs. The acquisitions of the Torqo and SGM Biotech product lines had a significant impact on sales and marketing costs in fiscal 2011 which will continue in fiscal 2012. In dollars, selling costs were $1,038,000 in the second fiscal quarter of 2012 and $894,000 in the same prior year quarter. In dollars, selling costs were $1,977,000 in the first six months of 2012 and $1,731,000 in the same period last year. As a percent of sales, selling cost was 11.1 percent in the current quarter and 11.5 percent in the prior year quarter, and 10.9 percent in the first six months versus 11.4 percent in the same period last year.
Net income increased 44 percent to $2,053,000 or $.59 per share on a diluted basis during the second fiscal quarter of 2012 compared to $1,429,000 or $.43 per share on a diluted basis in the previous year period. For the first six months of 2012 net income increased 36 percent to $3,733,000 or $1.09 per share on a diluted basis, compared to $2,749,000 or $.83 per share on a diluted basis in the same period last year. As previously discussed, sales have increased due to both internal growth and acquisitions with overall margins also increasing during the quarter. Other factors impacting net income during the quarter included the increases in general and administrative costs, sales and marketing costs, and research and development costs which are discussed above. We have added debt and interest expense due to our acquisitions of SGM Biotech and Apex Laboratories during the prior fiscal year. Additionally, we have experienced six month amortization expenses of $752,000 compared to $512,000 in the prior year. For the first six months of fiscal 2012, net income margins have risen by 2.4 percentage points from 18.1 percent in the prior year period to 20.5 percent in the current year.
Subscribe RSS
