Raven Industries Expects to Report Lower Sales and Net Profit For First Quarter
SIOUX FALLS, S.D., April 27 /PRNewswire/ -- Raven Industries, Inc. (Nasdaq: RAVN) today announced that it expects that sales in its first quarter may be off some 10 percent from the year-earlier's $35.67 million. Net income could decline as much as 60 percent to the range of 18-20 cents per share due, in part, to delays in scheduled deliveries of contract electronics shipments and later scheduled shipments of apparel. Backlogs in both areas are much higher than a year ago, the company emphasized.
"We fully expect to more than make up for the sales decline," noted Raven President and Chief Executive Officer David A. Christensen. "While our engineered films volume is robust and Beta Raven is doing better than a year ago, agricultural electronic controls demand was weak in the early part of the first quarter." Christensen added that sales of plastic tanks continues to lag year-ago levels, primarily in the Norcore dual-laminate product line.
At the present time, Christensen added, "We still remain guardedly optimistic that we will show much improved operating results for our full year ended January 31, 1999, versus the previous year."
Raven Industries is a diversified manufacturer that supplies plastics, electronics and special-apparel products to various markets.