Acquisition Costs Swing Arotech To Loss

ANN ARBOR — Arotech Corp., the Ann Arbor-based provider of simulation and security products, reported a loss of $483,000 or 2 cents a share on revenue of $24.2 million in the first quarter of 2015.

That compares to net income of $1 million or 5 cents a share on
revenue of $22.4 million a year earlier.

The company also released an “adjusted” earnings figure of
$618,000 or 3 cents a share, down from adjusted net income of $1.9
million or 9 cents a share a year earlier. The adjusted figure excludes
amortization, stock compensation, the non-cash portion of tax
expense and acquisition costs totaling $1.1 million in the first quarter of 2015 and $888,000 in the first quarter of 2014.

The company also affirmed its 2015 guidance for revenue of
between $110 million and $125 million, and adjusted earnings per
share of 31 to 36 cents.

The company said its backlog of orders as of March 31 was $63.4
million, up from $51.9 million at the same date a year earlier.

“Demand for more energy-efficient power systems and our advanced simulation and training solutions continues to reinforce our confidence in our outlook for full-year 2015,” said Steven Esses, Arotech president and CEO. “With a solid backlog and strong visibility into our sales pipeline we are reaffirming our full-year guidance, despite some order slippage and typical seasonal headwinds that we experienced during the first quarter.”

To listen to a conference call discussing these results, visit the
investor relations section of www.arotech.com.

Arotech provides multimedia interactive simulators and trainers, as well as advanced batteries, energy management and power distribution systems, to military, law enforcement and security agencies.

Arotech’s corporate offices are in Ann Arbor, with research, development and production subsidiaries in Alabama, Michigan, South Carolina, and Israel.

Leave a Reply

Your email address will not be published.

This site uses Akismet to reduce spam. Learn how your comment data is processed.