Optical Cable Corporation Reports First Quarter 2013 Financial Results

    Optical Cable Corporation Reports First Quarter 2013 Financial Results

PR Newswire

ROANOKE, Va., March 15, 2013

ROANOKE, Va., March 15, 2013 /PRNewswire/ --Optical Cable Corporation (Nasdaq
GM: OCC) ("OCC^®" or the "Company") today announced financial results for its
fiscal first quarter ended January 31, 2013.

OCC reported consolidated net sales of $17.3 million and net income
attributable to the Company of $0.02 per basic and diluted share for the first
quarter of fiscal year 2013.

First Quarter 2013 Financial Results

The Company achieved consolidated net sales of $17.3 million during the first
quarter of fiscal year 2013, the same as achieved during the first quarter of
fiscal year 2012. OCC's sales in its specialty markets increased by
approximately 19% during the first quarter of fiscal year 2013, compared to
the same period last year, with decreases in the Company's commercial markets
offsetting the increase.

Net sales to customers outside of the United States increased 23.4% in the
first quarter of fiscal year 2013, compared to the same period last year,
while net sales to customers in the United States decreased 9.1%.

Gross profit increased 6.1% to $6.5 million in the first quarter of fiscal
year 2013, compared to $6.2 million in the same period last year. Gross
profit margin, or gross profit as a percentage of net sales, increased to
37.7% in the first quarter of fiscal year 2013 from 35.5% in the first quarter
of fiscal year 2012.

OCC recorded net income attributable to the Company of $130,000, or $0.02 per
basic and diluted share, for the first quarter of fiscal year 2013, compared
to $192,000, or $0.03 per basic and diluted share, for the first quarter of
fiscal year 2012.

Management's Comments

Neil Wilkin, President and Chief Executive Officer of OCC, said, "We are
pleased with our solid net sales and earnings results, especially given the
continued macroeconomic headwinds and normal seasonality that we experienced
in our first fiscal quarter. We achieved increased gross profit and gross
profit margins in the first quarter when compared to the same period last
year, driven by our fiber optic cable products in specialty markets.

Mr. Wilkin added, "OCC's balance sheet remains strong and the Board of
Directors is committed to returning additional capital to shareholders.
During our fiscal first quarter, the OCC Board authorized the increase of our
regular quarterly dividend by more than 33 percent, implying an annual
dividend rate of eight cents per share. In addition, as we announced in
September 2012, the Board approved a plan to repurchase and retire up to
320,000 shares of our common stock, and to date we have retired 129,500 shares
under that authorization. We will continue to execute our strategy to grow
OCC and enhance value for shareholders, and we look forward to reporting on
our progress through the remainder of fiscal year 2013."

Conference Call Information

As previously announced, OCC will host a conference call today, March 15,
2013, at 10:00 a.m. Eastern Time. Individuals wishing to participate in the
conference call should call (888) 868-9083 or (973) 935-8512. For interested
individuals unable to join the call, a replay will be available through March
22, 2013, by dialing (800) 585-8367 or (404) 537-3406, pass code 20467369.
The call will also be broadcast live over the Internet and can be accessed by
visiting the investor relations section of the Company's website at
www.occfiber.com.

Company Information

Optical Cable Corporation ("OCC^®") is a leading manufacturer of a broad range
of fiber optic and copper data communication cabling and connectivity
solutions primarily for the enterprise market, offering an integrated suite of
high quality, warranted products which operate as a system solution or
seamlessly integrate with other providers' offerings. OCC's product offerings
include designs for uses ranging from commercial, enterprise network,
datacenter, residential and campus installations to customized products for
specialty applications and harsh environments, including military, industrial,
mining, petrochemical and broadcast applications. OCC products include fiber
optic and copper cabling, fiber optic and copper connectors, specialty fiber
optic and copper connectors, fiber optic and copper patch cords,
pre-terminated fiber optic and copper cable assemblies, racks, cabinets,
datacom enclosures, fiber optic and copper patch panels, face plates,
multi-media boxes, wireless distributed antenna systems, fiber optic reels and
accessories and other cable and connectivity management accessories. OCC
products are designed to meet the most demanding needs of end-users,
delivering a high degree of reliability and outstanding performance
characteristics.

OCC^® is internationally recognized for pioneering the design and production
of fiber optic cables for the most demanding military field applications, as
well as of fiber optic cables suitable for both indoor and outdoor use, and
creating a broad product offering built on the evolution of these fundamental
technologies. OCC also is internationally recognized for its role in
establishing copper connectivity data communications standards, through its
innovative and patented technologies.

Founded in 1983, OCC is headquartered in Roanoke, Virginia with offices,
manufacturing and warehouse facilities located in each of Roanoke, Virginia,
near Asheville, North Carolina and near Dallas, Texas. OCC primarily
manufactures its fiber optic cables at its Roanoke facility which is ISO
9001:2008 registered and MIL-STD-790F certified, its enterprise connectivity
products at its Asheville facility which is ISO 9001:2008 registered, and its
military and harsh environment connectivity products and systems at its Dallas
facility which is ISO 9001:2008 registered and MIL-STD-790F certified.

Optical Cable Corporation, OCC, Procyon, Superior Modular Products, SMP Data
Communications, Applied Optical Systems, and associated logos are trademarks
of Optical Cable Corporation.

Further information about OCC^® is available at www.occfiber.com.

FORWARD-LOOKING INFORMATION

This news release by Optical Cable Corporation and its subsidiaries
(collectively, the "Company" or "OCC") may contain certain forward-looking
information within the meaning of the federal securities laws. The
forward-looking information may include, among other information, (i)
statements concerning our outlook for the future, (ii) statements of belief,
anticipation or expectation, (iii) future plans, strategies or anticipated
events, and (iv) similar information and statements concerning matters that
are not historical facts. Such forward-looking information is subject to known
and unknown variables, uncertainties, contingencies and risks that may cause
actual events or results to differ materially from our expectations, and such
known and unknown variables, uncertainties, contingencies and risks may also
adversely affect Optical Cable Corporation and its subsidiaries, the Company's
future results of operations and future financial condition, and/or the future
equity value of the Company. A partial list of such variables, uncertainties,
contingencies and risks that could cause or contribute to such differences
from our expectations or that could otherwise adversely affect Optical Cable
Corporation and its subsidiaries is set forth in Optical Cable Corporation's
quarterly and annual reports filed with the Securities and Exchange Commission
("SEC") under the heading "Forward-Looking Information." OCC's quarterly and
annual reports are available to the public on the SEC's website at
http://www.sec.gov. In providing forward-looking information, the Company
expressly disclaims any obligation to update this information, whether as a
result of new information, future events or otherwise except as required by
applicable laws and regulations.



(Financial Tables Follow)



OPTICAL CABLE CORPORATION
Condensed CONSOLIDATED STATEMENTS OF INCOME
(thousands, except per share data)
(unaudited)
                                         Three Months Ended
                                         January 31,
                                         2013              2012
Net sales                                $   17,295      $   17,334
Cost of goods sold                       10,771            11,184
 Gross profit                       6,524             6,150
SG&A expenses                            6,189             5,965
Royalty (income) expense, net            48                (185)
Amortization of intangible assets        23                33
 Income from operations             264               337
Interest expense, net                    (108)             (144)
Other, net                               (5)               (1)
 Other expense, net                 (113)             (145)
 Income before income taxes         151               192
Income tax expense                      40                40
 Net income                        $     111    $     152
Net loss attributable to
 noncontrolling interest             (19)              (40)
Net income attributable to OCC           $     130    $     192
Net income attributable to OCC
 per share: Basic and diluted        $     0.02   $     0.03
Weighted average shares outstanding:
 Basic and diluted                   6,309             6,288
Cash dividends declared per common share $      0.02  $    0.015





OPTICAL CABLE CORPORATION
CONDENSED CONSOLIDATED BALANCE SHEET DATA
(thousands)
(unaudited)
                                            January 31,        October 31,
                                            2013               2012
Cash                                        $      506    $      591
Trade accounts receivable, net              9,208              12,601
Inventories                                 19,460             18,464
Other current assets                        2,820              3,109
 Total current assets                   31,994             34,765
Non-current assets                          14,285             12,997
 Total assets                           $     46,279   $    47,762
Current liabilities                         $      5,952  $     7,927
Non-current liabilities                     10,760             9,800
 Total liabilities                      16,712             17,727
Total shareholders' equity attributable to  30,195             30,644
OCC
Noncontrolling interest                     (628)              (609)
 Total shareholders' equity             29,567             30,035
 Total liabilities and shareholders'    $    46,279    $    47,762
equity



AT THE COMPANY:
Neil Wilkin                    Tracy Smith
Chairman, President & CEO      Senior Vice President & CFO
(540) 265-0690                  (540) 265-0690
investorrelations@occfiber.com investorrelations@occfiber.com

AT JOELE FRANK, WILKINSON BRIMMER KATCHER:
Andrew Siegel            Aaron Palash
(212) 355-4449 ext. 127 (212) 355-4449 ext. 103
occ-jfwbk@joelefrank.com occ-jfwbk@joelefrank.com

SOURCE Optical Cable Corporation

Website: http://www.occfiber.com
 
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