Video Display Corp. (VIDE, Financial) filed Quarterly Report for the period ended 2009-11-30.
Video Display Corp. has a market cap of $37.2 million; its shares were traded at around $4.45 with a P/E ratio of 148.3 and P/S ratio of 0.5.
Display segment margins decreased from 32.3% to 25.2% for the comparable three month period ended November 30, 2009 and decreased from 31.3% to 26.8% for the comparative nine month period ended November 30, 2009 due to the absorption of the fixed overhead costs on lower sales volume. Gross margins within the Monitor division decreased from 31.6% to 26.4% for the comparable three-month period ended November 30, 2009 and decreased from 31.0% to 26.1% for the nine months ended November 30, 2009. This decrease is primarily attributable to the impact of lower sales in the Monitor division in Fiscal 2010. Data Display division gross margins decreased from 30.7% to 23.4% for the three month comparable period ended November 30, 2009 due to lower sales volume at the Data facility, and increased from 30.0% for the nine months ended November 30, 2008 to 32.7% for the nine months ended November 30, 2009, due to the impact of the increased margins at the Companys Clinton Displays facility. Gross margins in home entertainment CRTs decreased from 38.0% to (79.8%) for the three-month comparable period ended November 30, 2009 and decreased from 27.2% for the nine months ended November 30, 2008 to (26.1%) for the nine months ended November 30, 2009, due to the reduction of manufactured tubes at the Chroma division. Gross margins from Component Parts sold decreased from 135.1% to 6.1% for the three-month comparable period ended November 30, 2009 and decreased from 128.3% for the nine months ended November 30, 2008 compared to 109.4% for the nine months ended November 30, 2009.
The Wholesale Distribution segment margins increased from 28.1% to 40.8% for the three months comparable period ended November 30, 2009 and increased from 44.2% to 49.8% for the comparable nine-month period ended November 30, 2009 due to the changes in customer and product mix.
Operating expenses as a percentage of sales decreased from 34.6% to 28.1% for the three-month comparable period ended November 30, 2009 and decreased from 32.7% for the nine months ended November 30, 2008 to 32.2% for the nine months ended November 30, 2009. The decreases in percentages and actual expenses are due primarily to a reduction in personnel costs for the comparable quarters as a result of managements focus on reducing costs.
Display segment operating expenses decreased from 32.4% to 23.8% of net sales for the three-month comparable period ended November 30, 2009 and increased from 17.9% to 18.0% for the nine-month period as compared to the comparable prior year period. The decreases are reduced wages, legal and professional fees.
The effective tax rate for the three months ended November 30, 2009 and November 30, 2008 was (59.1)% and 69.0%, respectively and for the nine months ended November 30, 2009 and November 30, 2008 was 9.8% and (2.0)%, respectively. These rates differ from the Federal statutory rate primarily due to the effect of state taxes, the permanent non-deductibility of certain expenses for tax purposes and research and experimentation tax credits.
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Video Display Corp. has a market cap of $37.2 million; its shares were traded at around $4.45 with a P/E ratio of 148.3 and P/S ratio of 0.5.
Highlight of Business Operations:
Consolidated gross margins decreased from 30.9% for the three months ended November 30, 2008 to 29.6% for the three months ended November 30, 2009 and decreased from 35.2% for the nine months ended November 30, 2008 to 33.5% for the nine months ended November 30, 2009.Display segment margins decreased from 32.3% to 25.2% for the comparable three month period ended November 30, 2009 and decreased from 31.3% to 26.8% for the comparative nine month period ended November 30, 2009 due to the absorption of the fixed overhead costs on lower sales volume. Gross margins within the Monitor division decreased from 31.6% to 26.4% for the comparable three-month period ended November 30, 2009 and decreased from 31.0% to 26.1% for the nine months ended November 30, 2009. This decrease is primarily attributable to the impact of lower sales in the Monitor division in Fiscal 2010. Data Display division gross margins decreased from 30.7% to 23.4% for the three month comparable period ended November 30, 2009 due to lower sales volume at the Data facility, and increased from 30.0% for the nine months ended November 30, 2008 to 32.7% for the nine months ended November 30, 2009, due to the impact of the increased margins at the Companys Clinton Displays facility. Gross margins in home entertainment CRTs decreased from 38.0% to (79.8%) for the three-month comparable period ended November 30, 2009 and decreased from 27.2% for the nine months ended November 30, 2008 to (26.1%) for the nine months ended November 30, 2009, due to the reduction of manufactured tubes at the Chroma division. Gross margins from Component Parts sold decreased from 135.1% to 6.1% for the three-month comparable period ended November 30, 2009 and decreased from 128.3% for the nine months ended November 30, 2008 compared to 109.4% for the nine months ended November 30, 2009.
The Wholesale Distribution segment margins increased from 28.1% to 40.8% for the three months comparable period ended November 30, 2009 and increased from 44.2% to 49.8% for the comparable nine-month period ended November 30, 2009 due to the changes in customer and product mix.
Operating expenses as a percentage of sales decreased from 34.6% to 28.1% for the three-month comparable period ended November 30, 2009 and decreased from 32.7% for the nine months ended November 30, 2008 to 32.2% for the nine months ended November 30, 2009. The decreases in percentages and actual expenses are due primarily to a reduction in personnel costs for the comparable quarters as a result of managements focus on reducing costs.
Display segment operating expenses decreased from 32.4% to 23.8% of net sales for the three-month comparable period ended November 30, 2009 and increased from 17.9% to 18.0% for the nine-month period as compared to the comparable prior year period. The decreases are reduced wages, legal and professional fees.
The effective tax rate for the three months ended November 30, 2009 and November 30, 2008 was (59.1)% and 69.0%, respectively and for the nine months ended November 30, 2009 and November 30, 2008 was 9.8% and (2.0)%, respectively. These rates differ from the Federal statutory rate primarily due to the effect of state taxes, the permanent non-deductibility of certain expenses for tax purposes and research and experimentation tax credits.
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