Distributed Logic Profits Drop 39% in Second Quarter
Distributed Logic Corp., an Irvine-based computer parts manufacturer, earned $193,876 in its second fiscal quarter, ended April 30, down 39% from net earnings of $319,711 in the same quarter a year before.
The company’s second-quarter sales were $3.78 million, slipping 9% from $4.17 million in the same period a year ago. Earnings and sales for the second quarter last year were restated to reflect the company’s Aug. 1 acquisition of Accord Computer Corp.
Second-quarter results brought net earnings for the first half of Distributed Logic’s 1985 fiscal year to $528,524, 13% below earnings of $609,015 for the first half of the previous fiscal year. Sales for the first half were $7.6 million, down almost 3% from sales of $7.8 million in the year-ago period.
Company controller John Egerer blamed the earnings slump on a temporary reduction in deliveries to its major customer, Digital Logic Corp., a unit of Digital Equipment Corp. of Massachusetts. Those sales accounted for 12% of Distributed Logic’s second-quarter revenue, compared to 22% in the fiscal 1984 second quarter. Distributed Logic makes tape disk and communications controllers for Digital Equipment Corp. computers.
Yearly Profits Plunge 97% at Tustin Company
Surprised by last year’s precipitous downturn in the personal computer and software markets, Applied Data Communications posted a 97% drop in earnings for its 1985 fiscal year ended March 31. The company earned $31,000 in its last fiscal year, compared to $1.16 million the year before.
The Tustin-based designer and manufacturer of computer products reported a fourth-quarter loss of $208,000, the result of a year-end inventory write-down of $381,000. By contrast, in the same quarter of fiscal 1984, the company earned $214,000.
In the last quarter of fiscal 1985, Applied Data posted revenues of $2.5 million, down 34% from $3.8 million in the previous year’s fourth quarter.
Applied Data’s revenues for all of fiscal 1985 declined 10%, to $11.14 million from $12.34 million in fiscal 1984.
Pat Kane, president and chief executive officer, said the company was harmed financially when it geared up to meet anticipated growth in product demand that never materialized.
Covington Posts Decline in Quarterly Earnings
Covington Technologies, a Fullerton home builder and manufacturer of building panels, lost $20,000 in the first quarter, compared to net income of $178,000 in the quarter a year earlier.
Revenues from continuing operations in the quarter were $8.7 million, down from $12.8 million last year.
