EIP Microwave Cites Sales as Quarterly Earnings Rise

Citing stronger sales, EIP Microwave Inc., the Newport Beach-based maker of microwave test devices, reported fiscal 1987 first-quarter profits of $92,000, up 23% from the $75,000 reported the year before.

Sales in the period ended Dec. 31 were $5.6 million, up 24% from the $4.5 million posted in the year-ago period.

However, the company said that the $5 million in new orders received during the first quarter was down about 60% from the year before, when EIP received a $7-million order from the U.S. Air Force.

EIP stopped short of projecting a future earnings decline but said that its $5.1-million backlog of orders at the end of the first quarter was less than half the amount of the year before.

Further, company officials said they expect “the softness in the test and measurement instrument markets will continue to persist.” Nevertheless, the company said it would continue to invest heavily in its new product line, which is expected to be introduced sometime before Sept. 30.