Iec Electronics Corp (IEC, Financial) filed Quarterly Report for the period ended 2009-12-25.
Iec Electronics Corp has a market cap of $41.7 million; its shares were traded at around $4.76 with a P/E ratio of 8.5 and P/S ratio of 0.6.
Interest expense was $95K for the first three months of fiscal 2010, down from $124K in the comparable three month period of the prior fiscal year. Total average debt during the comparable three month period was less than prior year and our interest rate on our revolving credit line was very favorable, averaging approximately 1.75% over the three months ended December 25, 2009. We continue to actively manage our debt to reduce interest expense. Strong earnings and prudent working capital management have enabled accelerated reduction of our overall debt. The acquisition of GTC on December 16, 2009 added debt, as described in note #3 to the consolidated financial statements on pages 9 and 10, but this debt had minimal impact on interest expense for the current quarter.
Income tax expense for the three month period ended December 25, 2009 was $406K, up from $291K for the comparable quarter of the previous year, due to higher pretax earnings.
Cash Flow provided by operating activities was $1.6 million for the three month period ended December 25, 2009 compared to $1.0 million provided from the same three month period in the prior fiscal year. The cash provided from the most recent three months of operations was mainly derived from healthy earnings and an increase in payables. The Company remains very focused on effective working capital management.
At December 25, 2009, we had a $9.0 million balance outstanding under our new revolving credit facility. The maximum borrowing limit under our revolving credit facility is limited to the lesser of (i) $15.0 million or (ii) an amount equal to the sum of 85% of the receivables borrowing base and 35% of the inventory borrowing base. We believe that our liquidity is adequate to cover operating requirements for the next 12 months. Our new credit facility is described in detail in note #3 to the consolidated financial statements on page 9 and 10.
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Iec Electronics Corp has a market cap of $41.7 million; its shares were traded at around $4.76 with a P/E ratio of 8.5 and P/S ratio of 0.6.
Highlight of Business Operations:
Selling and administrative expenses, as a percentage of sales, increased slightly over the comparable three month period of the prior fiscal year. Costs added to SG&A have been focused on strengthening our Sales and Marketing team, our Finance department and our Information Systems and Technology group. Wire and Cable has been fully integrated into our consolidated business and that effort required additional expense. Selling and administrative expenses for the three months ended December 25, 2009 and December 26, 2008 included $34K and $46K of non-cash stock option expense respectively.Interest expense was $95K for the first three months of fiscal 2010, down from $124K in the comparable three month period of the prior fiscal year. Total average debt during the comparable three month period was less than prior year and our interest rate on our revolving credit line was very favorable, averaging approximately 1.75% over the three months ended December 25, 2009. We continue to actively manage our debt to reduce interest expense. Strong earnings and prudent working capital management have enabled accelerated reduction of our overall debt. The acquisition of GTC on December 16, 2009 added debt, as described in note #3 to the consolidated financial statements on pages 9 and 10, but this debt had minimal impact on interest expense for the current quarter.
Income tax expense for the three month period ended December 25, 2009 was $406K, up from $291K for the comparable quarter of the previous year, due to higher pretax earnings.
Cash Flow provided by operating activities was $1.6 million for the three month period ended December 25, 2009 compared to $1.0 million provided from the same three month period in the prior fiscal year. The cash provided from the most recent three months of operations was mainly derived from healthy earnings and an increase in payables. The Company remains very focused on effective working capital management.
At December 25, 2009, we had a $9.0 million balance outstanding under our new revolving credit facility. The maximum borrowing limit under our revolving credit facility is limited to the lesser of (i) $15.0 million or (ii) an amount equal to the sum of 85% of the receivables borrowing base and 35% of the inventory borrowing base. We believe that our liquidity is adequate to cover operating requirements for the next 12 months. Our new credit facility is described in detail in note #3 to the consolidated financial statements on page 9 and 10.
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