To conclude what management called “one of the weakest years in equipment sales on record,” Aldila, Inc. reported that net sales for the fourth quarter fell 34.7% to $11.5 million from $17.7 million in the year-ago period.
The company also reported a net loss of $1.3 million, or 26 cents per share, compared to a net income of $10.9 million or $2.09 per share, in the year ago period. In the 2007 fourth quarter, the company realized a pretax gain of $16.3 million from the sale of its 50% interest ion Carbon Fiber Technology, LLC. Excluding the gain, the companys net income for Q4 2007 would have been $771,000, or 15 cents per share.
Aldilas full year net sales fell 33.5% to $53.6 million from $69.1 million in fiscal 2007. The company reported a net loss of $2.5 million, or 48 cents per diluted share, for 2008, compared to a net income of $16.0 million, or $2.91 per diluted share, in 2007. The full year operating loss was $3.6 million, compared to an operating income of $7.7 million in fiscal 2007.
In a conference call with analysts, management for the golf shaft manufacturer noted that a decline in composite material sales continued in the fourth quarter of 2008, producing a full year reduction of 25% compared to 2007 results.
Management added that the companys VooDoo shaft continues to generate strong results.
For 2009, management said the company has taken several steps to reduce costs, including implementing a general salary freeze, cutbacks at the companys Mexico facility, reductions in advertising spending, and reducing employee travel.
