TORONTO, ONTARIO -- Firan Technology Group today announced second quarter sales rose 29% over last year to $25.5 million.
The company's PCB segment revenue rose 17% or $2.4 million during the period ended June 2.
Gross margins increased 18% over last year to $5.75 million, good for a 22.5% margin. Net earnings before taxes were $755,000, down 59%, while net profit was $124,000, down 91%.
Sales from FTG's acquisition PhotoEtch were $2.9 million in the quarter. Sales resulting from the Teledyne PCT acquisition were $5 million. Both figures exceeded targets.
Profitability was impacted by the extension of Teledyne PCT operations and ongoing ramp of activity of its operations in Chatsworth, CA, which are expected to continue to ramp through the September quarter. FTG closed the former Teledyne PCT facility at the end of May.
"The second quarter of 2017 saw continued growth in FTG from last year's acquisitions and progress in transitioning the work into FTG's legacy facilities", stated Brad Bourne, president and chief executive officer. "We continue to achieve the sales growth expectations from the acquisitions but did incur increased costs in the quarter related to the transition due to the extended use of the Hudson facility as well as ramp up costs in Chatsworth. We remain focused on completing all transition tasks to support customer demands and ultimately generating the anticipated returns from the acquisitions."
On a year-to-date basis, Circuits sales are up $5.3 million, or 20%, in part due to incremental revenue from the acquisition of Teledyne PCT. Net earnings before corporate and interest and other costs was $2.6 million in the quarter, compared to $1.7 million in 2016. The Circuits joint venture in China did not have a material impact on profitability.
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