comtech telecommunications (CMTL) Key Developments
Comtech Telecommunications Corp. Announces Retention Agreement with Robert G. Rouse from Senior Vice President, Strategy and M&A to Senior Advisor
Jan 13 15
On January 12, 2015, Comtech Telecommunications Corp. entered into a retention agreement with Robert G. Rouse, senior vice president, strategy and M&A of the company. Under the terms of the retention agreement, Mr. Rouse's employment position with the company will immediately change from senior vice president, strategy and M&A to senior advisor.
Comtech Telecommunications Corp. Announces Executive Changes
Dec 23 14
Comtech Telecommunications Corp. announced that its Board of Directors has named Dr. Stanton D. Sloane as Chief Executive Officer and President of Comtech. Dr. Sloane will assume these positions no later than February 1, 2015 and will succeed Fred Kornberg as CEO and President, who will continue to serve the company during the next year as Executive Chairman of the Board of Directors. Dr. Sloane served as President and CEO and a member of the board of directors of Decision Sciences International Corporation from August 2011 through December 2014. Previously, he served as President and CEO and a member of the board of directors of SRA International Inc.
Comtech Telecommunications Corp. Announces Earnings Results for the First Quarter Ended October 31, 2014; Provides Earnings Guidance for the Second Quarter of 2015 and Fiscal Year Ending July 31, 2015
Dec 10 14
Comtech Telecommunications Corp. announced unaudited consolidated earnings results for the first quarter ended October 31, 2014. For the quarter, the company reported net sales declined 8.4% from the same quarter last year to $76.4 million. The year-over-year decrease reflects lower net sales across all three of its operating segments. GAAP net income was $5.2 million, or $0.32 per diluted share, down from a $5.3 million or $0.28 per diluted share profit last year. Non-GAAP net income was $5.6 million, or $0.34 per diluted share, beating Wall Street projections by $0.05 per share. Operating income was $8,219,000 against $10,099,000 a year ago. Income before provision for income taxes was $8,038,000 against $8,354,000 a year ago. Adjusted EBITDA was $13.3 million as compared to $14.3 million for the three months ended October 31, 2013. The company had an operating cash outflow of $4.7 million, which is primarily related to overall changes in net working capital requirements, most notably the timing of billings and payments related to large over-the-horizon microwave system contracts.
For the fiscal year ending July 31, 2015, the company expects revenue outlook to a new range of $355 million to $365 million, in-line with estimates expecting around $359.67. It reaffirmed its forecast for GAAP earnings of between $1.70 to $1.86 per share. The company is maintaining its adjusted EBITDA guidance which is expected to range from $63.0 million to $67.0 million. The company's effective income tax rate is expected to approximate 35.0% excluding any potential discrete tax adjustments or legislative changes. The company is expecting capital expenses to be in the range of $5 million to $7 million of for the year. The company expects to generate positive cash flows in fiscal 2015, the amount is currently expected to be lower than fiscal 2014 almost entirely due to timing and expected performance on our 2 large over-the-horizon microwave system contracts.
The company expects that its fiscal 2015 second quarter financial results will be similar to the first quarter of fiscal 2015.
Comtech Telecommunications Corp. Declares Quarterly Cash Dividend, Payable on February 18, 2015
Dec 10 14
Comtech Telecommunications Corp. announced that its board of directors declared a quarterly cash dividend of $0.30 per share, payable on February 18, 2015, to shareholders of record at the close of business on January 16, 2015.
Comtech Telecommunications Completes Review Of Strategic Alternatives
Dec 9 14
Comtech Telecommunications Corp. (NasdaqGS:CMTL) announced that its Board of Directors has completed a review of strategic alternatives on December 9, 2014 with the assistance of its financial advisor, Citibank, of Citigroup Inc. (NYSE:C), its legal counsel, Proskauer Rose, and its special counsel, Morris, Nichols, Arsht & Tunnell. After considering various strategic alternatives to enhance shareholder value, including a possible merger or sale of Comtech, the Board has determined that the interests of Comtech and its shareholders will be best served by Comtech remaining independent. Comtech Chairman and Chief Executive Officer, Fred Kornberg, stated, "At the end of a thorough and rigorous process, our Board concluded that the Company is best positioned to maximize shareholder value by continuing to execute on its strategies of enhancing its leadership positions in the markets we serve, participating in emerging technologies that enhance or expand our product portfolio, carefully pursuing acquisitions of businesses and technologies, and returning cash to our shareholders."