Aldila second quarter net sales increased 53% to $21.8 million from $14.3 million in the year-ago period. The average selling price of golf shafts increased 31% on a 20% increase in unit sales. The future looks bright as well as the order backlog of sales orders was up 183% to $12.7 million at quarter-end.

Outside sales of composite prepreg materials, used in bicycle and other sporting goods equipment, continued to grow during the quarter as sales increased by 69% versus the second quarter of 2004. Hockey sales were impacted by the NHL lockout situation, but the company experienced a rapid increase in activity with the recent announcement of a resolution between the owners and the players union.

The leading category remains golf shaft sales and ALDA is seeing both an expansion of existing programs with OEMs and the introduction of new club programs.

Aldila’s gross margin declined 470 basis points due to higher costs of raw materials related to carbon fiber production. This was partially offset by lower SG&A expenses as a percentage of sales, which declined 460 basis points to 11.7%. Resulting net income increased 68% to $3.6 million, or 66 cents per diluted share, compared to $2.2 million, or 42 cents per diluted share, in 2004.