Pinnacle Systems report record results

Pinnacle Systems have released their financial results for the second quarter of the 2003 financial year, which ended December 31, 2002.
Net sales for the second quarter were $84,501,000, a 43% increase over net sales of $59,132,000 in the second quarter of the last fiscal year. Net income for the second quarter, including acquisition-related amortization charges, was $4,479,000 or $0.07 per share. Pro forma net income for the second quarter was $7,566,000 or $0.12 per share.
In addition, the Company ended the quarter with $108.8 million in cash and marketable securities.
J. Kim Fennell, Pinnacle Systems’ President and Chief Executive Officer, said: “We are extremely pleased with our outstanding financial performance during the quarter, particularly in light of a difficult economic climate. Sales for the quarter were an all-time high for the Company and exceeded the previous record by 20%. Sales in our Business and Consumer division were particularly strong this holiday quarter having increased 49% sequentially and 69% over the same quarter last year. We believe this strong performance is a result of having cutting-edge technology that we are able to leverage across all of our businesses, and from our focus on customers and business fundamentals.”
By division, net sales for the second quarter were $34.5 million in the Broadcast and Professional division and $50.0 million in the Business and Consumer division, a 17% and 69% respective increase over the same quarter last fiscal year. Gross margins were 59.9% in the Broadcast and Professional division and 50.8% in the Business and Consumer division. Blended gross margins for the second quarter were 54.3%, an increase of almost five margin points over the same quarter last year.
(GB)