Strong demand in leading markets drove sales up 5.500percent over fiscal 2k18 to $11.6 M with a gross margin of 45.00percent; For the fourth quarter, sales grew 1.00percent over the prior-year period with a gross margin of 46.00percent
– Investments in sales and marketing to win leading market positions in alternative energy and medical market applications impacted operating margin
– Record orders of $13.4 00M in fiscal 2k19, up 145.00percent over the prior year, from strong demand in microelectronics/electronics and alternative energy markets
– Achieved record backlog at year end of $3.0 M, up 145.00percent from a backlog of the prior year. Backlog includes $1.700 M order for a newly introduced Robotic Coating Platform
– Expect sales growth of 15.00percent to 20.00percent in fiscal 2020 and measurable conversion of sales to operating income and earnings
Sono-Tek Corporation (OTCQX: SOTK) the leading developer and manufacturer of ultrasonic coating systems, today reported financial results for its fourth quarter and fiscal year ended February 28, 2k19 (“fiscal 2k19”).
Balance Sheet and Cash Flow Overview
Net cash used in operating activities was $109,000 in fiscal 2k19, compared with generating $1,802,000.00 in fiscal 2k18. Capital expenditures in fiscal 2k19 increased to $0.500 M compared with $0.2 00M in the prior fiscal year. In fiscal 2k19, the Company invested in new CNC machinery and other equipment to expand production capacity for expected volume and to enhance its precision machining capabilities for new ultrasonic coating solutions.
At February 28, 2k19, the Company had total debt of $871,000.00, down $156,000.00 from fiscal 2k18 year-end. Total debt is approximately 10.00percent of the Company’s total capitalization and is related to the mortgage on the industrial park where the Company’s manufacturing operations are located.
Sono-Tek has a revolving credit line of $1,500,000 .00and a $750,000.00 equipment purchase facility, both of which had no outstanding borrowings at year-end.