Datron Systems Reports 67% Drop in Profits

Datron Systems Inc. reported a 67% drop in its fiscal fourth-quarter profit on a 6% decline in sales.

In the quarter ended March 31, the Simi Valley-based provider of telecommunications and radio equipment and services earned $403,000, down from $1.23 million a year earlier. Its sales dipped to $17.5 million from $18.6 million.

Datron blamed the declines partly on “a reduction in defense-related business” because of reduced military spending, and “costs associated with the downsizing of its defense-related operations in its engineering services and products segment.”

For its full fiscal year, however, Datron’s profit jumped 50%, to $3.46 million from $2.31 million the prior year, and its annual sales rose 22%, to $73 million from $59.6 million.