Park Electrochemical Corp., a maker of materials for aerospace and printed circuit boards, said Tuesday that it posted a 45.8 percent year-over-year drop in fourth-quarter net income to $2.5 million.
Demand from electronics manufacturers “flattened” in January and February, a factor in the weak results, chairman and chief executive Brian Shore said in a conference call.
Addressing the “Trump factor,” Shore said that the company would like to repatriate a “significant amount” of the roughly $240 million the company holds overseas if the administration goes through with a proposed one-time tax cut on foreign reinvested income.
Absent a tax holiday, Shore said the company would face a tax bill of about $60 million on repatriated income. He said the funds would be returned to shareholders through a dividend or stock buyback.
Diluted earnings per share were 12 cents versus 23 cents in the year-earlier quarter, the Melville company said in a news release before the stock market opened Tuesday.
Net sales shrank to $26.5 million compared with $35.8 million in the same quarter a year ago.
Park Electrochemical has been struggling in recent quarters amid stiff competition from Far Eastern producers of commodity printed circuit materials.
In the quarter, Park also recorded pretax restructuring charges of $107,000 related to the closure in fiscal year 2009 of its New England Laminates Co. Inc. facility in upstate Newburgh.
The company has about 450 employees worldwide.
Park shares rose 2.7 percent to close at $17.82 on Tuesday. The stock has risen 9.3 percent over the past 12 months.