Comtech Telecommunications Corp. Wednesday posted flat net income despite an 8.4 percent decline in first quarter sales.
The Melville maker of communications equipment reported sales of $76.4 million versus $83.4 million in the year-earlier period. Net income was $5.2 million, in line with the $5.3 million in 2013. Diluted earnings per share came in at 32 cents, 4 cents higher than the prior year's quarter.
The company, which reported after Wednesday's market close, said it is maintaining its diluted earnings per share guidance of $1.70 to $1.86 despite incurring expenses of about $600,000 related to an exploration of a possible sale or merger.
Comtech shares tumbled 9.3 percent to $35.33 Wednesday after the company's announcement late Tuesday afternoon that it had called off its search for a buyer or merger partner.
The company also declared a quarterly cash dividend payable Feb. 18 of 30 cents per share.