NETANYA, Israel, March 11, 2010 (GLOBE NEWSWIRE) -- RADA Electronic Industries Ltd. (Nasdaq:RADA) reported today its financial results for the year ended December 31, 2009. The company reported $18.4 million in revenues for 2009, an increase of 3.1% from 2008. RADA gross profit increased 43% to $6 million in 2009, up from $4.2 million in 2008. RADA gross margin increased to 33% in 2009 from 24% in 2008 and its operating profit increased to $1 million in 2009 compared to $110 thousands in 2008. As a result, the Company reported a net profit of $213 thousands or $0.02 per share for 2009 compared to a net loss of $576 thousands or $0.07 per share for the year ended December 31, 2008.
Commenting on the results, Zvika Alon, RADA CEO said, "We are satisfied with our achievements in 2009. Not only were we able in 2009 to achieve a net profit for the first time in several years, but for the period from 2007 through 2009 we have shown continuous improvement in all of revenue, gross profit and operating profit. We achieved the improved operating results as a direct outcome of the higher production volume of mature products compared to previous years, while increasing our research and development efforts for new products that we believe will drive future sales. RADA's backlog has grown significantly during 2009 from $25 million at the end of 2008 to $39 million at the end of 2009. In addition to the existing product base, we expect to increase our activities in 2010 in the areas of Inertial Navigation Systems and Avionic Upgrade Solutions. As a result we project continued growth in revenue during 2010."
About RADA
RADA Electronic Industries Ltd. is an Israel based defense electronics contractor. The Company specializes in the development, manufacture and sale of Data Recording and Management Systems (Digital Video & Data recorders, Ground Debriefing Stations, Head-Up Display Cameras), Inertial Navigation Systems for air and land applications, Avionics Solutions (Aircraft Upgrades, Avionics for UAVs, Stores Management Systems, Interface Computers) and Radar Sensors for Active Protective Systems for land vehicles.
Note: Certain statements in this press release are "forward-looking statements" within the meaning of the Private Securities Litigation Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause actual results to differ materially. Such risk uncertainties and other factors include, but are not limited to, changes in general economic conditions, risks in product and technology developments, market acceptance of new products and continuing product demand, level of competition and other factors described in the Company's Annual Report on Form 20-F and other filings with the Securities and Exchange Commission.
| CONSOLIDATED BALANCE SHEETS | ||
| U.S. dollars in thousands, except share and per share data | ||
| December 31, | ||
| 2009 | 2008 | |
| ASSETS | ||
| CURRENT ASSETS: | ||
| Cash and cash equivalents | $987 | $964 |
| Restricted cash | 760 | 793 |
|
Trade receivables (net of allowance for doubtful accounts of $78 and $60 at December 31, 2009 and 2008, respectively) |
4,675 | 3,434 |
| Other receivables and prepaid expenses | 604 | 597 |
|
Costs and estimated earnings in excess of billings on uncompleted contracts |
1,291 | 2,210 |
| Inventories | 5,685 | 4,409 |
| Total current assets | 14,002 | 12,407 |
| LONG-TERM RECEIVABLES AND OTHERS | 602 | 209 |
| PROPERTY, PLANT AND EQUIPMENT, NET | 3,268 | 3,699 |
| OTHER ASSETS: | ||
| Intangible assets, net | 530 | 972 |
| Goodwill | 587 | 557 |
| Total other assets | 1,117 | 1,529 |
| Total assets | $18,989 | $17,844 |
| LIABILITIES AND SHAREHOLDERS' EQUITY | ||
| CURRENT LIABILITIES: | ||
| Current maturities of long-term loans | $93 | $162 |
| Trade payables | 2,590 | 2,760 |
| Convertible note from a shareholder, net | 2,482 | -- |
| Other accounts payable and accrued expenses | 3,458 | 3,210 |
|
Billings in excess of costs and estimated earnings on uncompleted contracts |
515 | 43 |
| Total current liabilities | 9,138 | 6,175 |
| LONG-TERM LIABILITIES: | ||
| Long-term loan | -- | 33 |
| Loans from shareholders, net | 1,501 | 1,546 |
| Convertible note from a shareholder, net | -- | 1,980 |
| Accrued severance pay and other long term liability | 489 | 558 |
| Total long-term liabilities | 1,990 | 4,117 |
| RADA SHAREHOLDERS' EQUITY | ||
| Share capital -- | ||
|
Ordinary shares of NIS 0.015 par value - Authorized: 16,333,333 shares at December 31, 2009 and 2008; Issued and outstanding: 8,868,857 and 8,858,553 shares at December 31, 2009 and December 31, 2008 respectively. |
119 | 119 |
| Additional paid-in capital | 69,578 | 69,495 |
| Accumulated other comprehensive income | 316 | 317 |
| Accumulated deficit | (62,722) | (62,935) |
| Total RADA shareholders' equity | 7,291 | 6,996 |
| Noncontrolling interest | 570 | 556 |
| Total equity | 7,861 | 7,552 |
| Total liabilities and equity | $18,989 | $17,844 |
| CONSOLIDATED STATEMENTS OF OPERATIONS | |||
| U.S. dollars in thousands, except per share data | |||
| Year ended December 31, | |||
| 2009 | 2008 | 2007 | |
| Revenues: | |||
| Products | $16,010 | $15,543 | $11,704 |
| Services | 2,432 | 2,338 | 2,317 |
| 18,442 | 17,881 | 14,021 | |
| Cost of revenues: | |||
| Products | 11,291 | 12,472 | 9,501 |
| Services | 1,140 | 1,214 | 1,180 |
| 12,431 | 13,686 | 10,681 | |
| Gross profit | 6,011 | 4,195 | 3,340 |
| Operating costs and expenses: | |||
| Research and development | 1,616 | 686 | 324 |
| Marketing and selling | 1,399 | 1,496 | 1,213 |
| General and administrative | 1,986 | 1,903 | 2,190 |
| Total operating costs and expenses | 5,001 | 4,085 | 3,727 |
| Operating profit (loss) | 1,010 | 110 | (387) |
| Financial expenses, net | 783 | 668 | 629 |
| Consolidated net income (loss) | 227 | (558) | (1016) |
|
Less: Net income attributable to Noncontrolling interest |
14 | 18 | 62 |
|
Net income (loss) attributable to RADA shareholders |
$213 | $ (576) | $(1,078) |
| Net income (loss) per share: | |||
| Basic and diluted net (income) loss per share | $0.02 | $(0.07) | $(0.12) |