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OPTICAL CABLE supplier reports FISCAL year AND FOURTH QUARTER 2021 fiscal consequences

OCC® studies growth in internet sales and Double-Digit increases in Gross earnings in the Fourth Quarter and financial year 2021

ROANOKE, Va., Dec. 20, 2021 /PRNewswire/ -- Optical Cable supplier (Nasdaq GM: OCC) ("OCC®" or the "business") today introduced economic effects for its fiscal year 2021 and its fourth quarter ended October 31, 2021.

Fourth Quarter 2021 financial effects

Consolidated internet income for the fourth quarter of fiscal 12 months 2021 increased 14.4% to $15.9 million, compared to web earnings of $13.9 million for the same length remaining yr, with multiplied net sales within the wireless provider and enterprise markets, in comparison to the equal length final yr.

Gross earnings improved 20.0% to $5.1 million within the fourth quarter of fiscal 12 months 2021, in comparison to gross earnings of $4.2 million for a similar length final 12 months. Gross earnings margin, or gross profit as a percent of net income, extended to 31.8% in the fourth quarter of fiscal 12 months 2021 compared to 30.three% within the fourth quarter of fiscal yr 2020.

SG&A costs extended to $four.8 million all the way through the fourth quarter of fiscal yr 2021, compared to $4.3 million for the fourth quarter of fiscal yr 2020. The enhance in SG&A prices became essentially the effect of net raises in worker and gotten smaller earnings personnel connected prices, in addition to raises in delivery expenses. covered in worker and reduced in size revenue personnel linked fees are commissions, which improved because of the boost in web income when comparing the fourth quarter of fiscal 12 months 2021 to the equal period last yr. delivery expenses also multiplied due to the boost in revenue when evaluating both durations.

For the fourth quarter of fiscal year 2021, OCC recorded a internet loss of $6,000, or $0.00 per primary and diluted share, compared to a web loss of $406,000, or $0.06 per basic and diluted share, for the fourth quarter of fiscal 12 months 2020.

Fiscal yr 2021 economic consequences

Consolidated web earnings for fiscal year 2021 elevated 7.0% to $59.1 million, in comparison to internet revenue of $55.three million for fiscal yr 2020. The business increased net earnings in the business and instant service markets, in comparison to fiscal year 2020. whereas web income reduced 7.8% all over the primary quarter, and OCC's net earnings multiplied 5.9%, 14.6% and 14.4% all the way through our 2d, third and fourth quarters of fiscal year 2021, respectively, in each case compared to the equal periods in fiscal 12 months 2020.

Story continues

The company believes net revenue all through fiscal 12 months 2021, notably starting in its 2d fiscal quarter, had been positively impacted through the persevered lifting of some restrictions and the reopening of certain markets that had been negatively impacted through the COVID-19 pandemic. additionally, the business believes it's going to proceed to peer a vogue of improving demand for its products and an increase in internet income to the extent there are declines in the direct and indirect affects of the COVID-19 pandemic on its shoppers, suppliers, staff and end-users.

OCC mentioned a gross income increase of 15.5% to $sixteen.three million in fiscal yr 2021, compared to gross profit of $14.1 million in fiscal yr 2020. Gross earnings margin expanded to 27.5% in fiscal 12 months 2021 in comparison to 25.5% for fiscal yr 2020.

SG&A prices reduced 5.2%, or $1.0 million, to $18.2 million all the way through fiscal 12 months 2021 compared to $19.2 million for fiscal year 2020. This adopted an SG&A expenses reduce of $four.2 million, or 17.9%, to $19.2 million in fiscal year 2020, in comparison to $23.four million in fiscal 12 months 2019. The reduce in SG&A expenses all through fiscal year 2021 compared to fiscal year 2020 turned into basically the result of decreases in worker and gotten smaller sales personnel related prices, bad debt rate and certain different prices. The lessen in employee and shriveled revenue personnel linked prices and other prices were positively impacted by using OCC's ongoing cost handle initiatives.

OCC recorded net profits of $6.6 million, or $0.87 per fundamental and diluted share, for fiscal year 2021, compared to a net loss of $6.1 million, or $0.eighty three per primary and diluted share, for fiscal yr 2020.

besides improved income and gross income and decreased SG&A costs, the business's fiscal yr 2021 consequences benefited from the gain on the extinguishment of debt concerning the forgiveness of its Small company Administration ("SBA") Paycheck protection program loan ("PPP mortgage") totaling approximately $5.0 million and a Federal employee Retention Tax credit ("ERTC") totaling $4.3 million, both of which have been recorded as different income on the business's remark of operations throughout fiscal year 2021. all through important intervals of the COVID-19 pandemic, the personal loan and tax credits enabled the business to keep employee jobs and maintain operational readiness, together with its skill to carrier important infrastructure customers such as the U.S. defense force and healthcare suppliers.

management's comments

Neil Wilkin, President and Chief executive Officer of OCC said, "In 2021, our crew efficiently performed initiatives to toughen OCC throughout the pandemic and for the lengthy-term. Our outcomes for our fourth quarter and the total fiscal 12 months replicate both the movements we took to power increase and our deep focus on operating efficiently. Like many other agencies, OCC was suffering from macroeconomic challenges created by using the pandemic. As we all started the fiscal yr 2021, demand for our items persisted to be hindered via the pandemic. As product demand started to grow throughout our 2d quarter, new macroeconomic pandemic-connected challenges arose—in selected provide chain disruption and a decent labor market. we're meeting these challenges with creative issue-fixing to increase operational effectiveness and by means of presenting our valued clientele and end-users with the advanced products they need to meet their crucial conversation wants."

Mr. Wilkin continued, "As we begin fiscal 12 months 2022, we are optimistic about the alternatives forward for OCC. consumer demand in our markets has significantly superior and we are starting to see the influences of the COVID-19 pandemic recede. With OCC's differentiated core strengths and capabilities, as well as our enviable market positions, we continue to be confident that we're well-positioned to capture alternatives and convey price to shareholders as markets situations continue to increase."

profit on Debt Extinguishment

On July 1, 2021, the SBA forgave the whole steadiness of the PPP personal loan (including gathered hobby). due to this fact, the business diagnosed a benefit on the extinguishment of debt of approximately $5.0 million in fiscal yr 2021.

employee Retention Tax credit score

during fiscal year 2021, OCC diagnosed a refundable payroll tax credit score totaling $4.3 million under the ERTC software. OCC become an eligible small company below the gross receipts decline verify, which certified the enterprise to claim ERTC in the first two calendar quarters of 2021 below the amended ERTC application. As of October 31, 2021, OCC had a $2.2 million receivable for ERTC nonetheless to be refunded.

conference name information

As up to now introduced, OCC will host a conference call nowadays, December 20, 2021, at 10:00 a.m. eastern Time. individuals wishing to participate within the convention call should call (866) 342-8591 in the U.S. or (203) 518-9713 internationally, conference identification OCCQ421. For involved people unable to be a part of the call, a replay can be accessible through Monday, December 27, 2021 by means of dialing (800) 839-5103 or (402) 220-2687. The call will even be broadcast live over the information superhighway and can be accessed by visiting the investor relations component of the enterprise's web site at www.occfiber.com.

enterprise counsel

Optical Cable service provider ("OCC®") is a number one brand of a wide range of fiber optic and copper facts verbal exchange cabling and connectivity solutions basically for the business market and various harsh environment and strong point markets (mutually, the non-carrier markets) and also the wireless provider market, providing built-in suites of super items which function as a system answer or seamlessly combine with other providers' choices.

OCC® is internationally identified for pioneering inventive fiber optic and copper communications technologies, together with fiber optic cable designs for the most stressful environments and functions, copper connectivity designs to meet the highest facts communique trade specifications, in addition to a vast product providing developed on the evolution of those basic technologies.

OCC uses its capabilities to convey cabling and connectivity products and integrated solutions that are top of the line desirable to the performance necessities of every conclusion-person's software. And OCC's options offerings cover a huge range of purposes—from commercial, business network, datacenter, residential and campus installations to custom-made products for strong point purposes and cruel environments, together with militia, industrial, mining, petrochemical and broadcast applications, in addition to for the wireless provider market.

centered in 1983, OCC is headquartered in Roanoke, Virginia with workplaces, manufacturing and warehouse facilities located in Roanoke, Virginia, close Asheville, North Carolina and near Dallas, Texas. OCC's amenities are ISO 9001:2015 registered and its Roanoke and Dallas facilities are MIL-STD-790G certified.

Optical Cable organization™, OCC®, Procyon®, sophisticated Modular items™, SMP records Communications™, applied Optical programs™, and linked trademarks are logos of Optical Cable service provider.

extra advice about OCC® is attainable at www.occfiber.com.

ahead-searching advice

This information unencumber by way of Optical Cable organisation and its subsidiaries (collectively, the "company" or "OCC") may contain definite ahead-searching assistance in the which means of the federal securities laws. The ahead-searching tips might also include, amongst other information, (i) statements concerning our outlook for the long run, (ii) statements of belief, anticipation or expectation, (iii) future plans, thoughts or expected pursuits, and (iv) similar guidance and statements concerning concerns that don't seem to be old data. Such ahead-looking information is area to usual and unknown variables, uncertainties, contingencies and risks that could cause precise hobbies or results to differ materially from our expectations, and such frequent and unknown variables, uncertainties, contingencies and risks may also also adversely have an effect on Optical Cable company and its subsidiaries, the company's future results of operations and future monetary condition, and/or the future fairness cost of the enterprise. A partial list of such variables, uncertainties, contingencies and risks that may trigger or make a contribution to such transformations from our expectations or that might in any other case adversely affect Optical Cable corporation and its subsidiaries is decided forth in Optical Cable supplier's quarterly and annual studies filed with the Securities and change fee ("SEC") beneath the heading "ahead-looking suggestions." OCC's quarterly and annual experiences are available to the general public on the SEC's site at http://www.sec.gov. In providing ahead-searching tips, the business expressly disclaims any responsibility to update this advice, no matter if because of new information, future activities or in any other case except as required by applicable laws and regulations.

(monetary Tables follow)

OPTICAL CABLE organization

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(thousands, apart from per share records)

(unaudited)

Three Months EndedOctober 31,

Fiscal yr EndedOctober 31,

2021

2020

2021

2020

internet earnings

$ 15,884

$ 13,887

$ fifty nine,136

$ fifty five,277

charge of goods bought

10,829

9,674

42,862

41,191

Gross earnings

5,055

4,213

16,274

14,086

SG&A costs

4,811

four,312

18,239

19,245

Royalty (revenue) fee, internet

eight

123

(37)

332

Amortization of intangible property

12

eleven

45

42

income (loss) from operations

224

(233)

(1,973)

(5,533)

hobby rate, internet

(one hundred sixty)

(173)

(690)

(570)

other, web

(sixty eight)

3

9,254

other salary (fee), web

(228)

(a hundred and seventy)

eight,564

(570)

earnings (loss) before revenue taxes

(4)

(403)

6,591

(6,103)

income tax rate (benefit)

2

three

(20)

18

net profits (loss)

$ (6)

$ (406)

$ 6,611

$ (6,121)

internet revenue (loss) per share:

fundamental and diluted

$ 0.00

$ (0.06)

$ 0.87

$ (0.eighty three)

Weighted standard shares incredible:

primary and diluted

7,416

7,352

7,588

7,355

OPTICAL CABLE employer

CONDENSED CONSOLIDATED balance SHEET statistics

(lots)

(unaudited)

October 31,2021

October 31,2020

cash

$ 132

$ 141

exchange accounts receivable, net

8,376

7,561

Inventories

16,304

17,a hundred

other latest property

2,754

521

total current property

27,566

25,323

Non-current assets

10,351

11,235

complete assets

$ 37,917

$ 36,558

present liabilities

$ 6,168

$ 6,266

Non-latest liabilities

9,543

15,032

total liabilities

15,711

21,298

total shareholders' equity

22,206

15,260

total liabilities and shareholders' fairness

$ 37,917

$ 36,558

Cision

View normal content material:https://www.prnewswire.com/news-releases/optical-cable-business enterprise-stories-fiscal-12 months-and-fourth-quarter-2021-financial-outcomes-301447927.html

source Optical Cable business enterprise


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