Shares of Park Electrochemical Corp. climbed more than 15 percent Friday after the maker of composite materials reported first-quarter sales gains in its aerospace and printed circuit markets.
In a report before the opening of the stock market Friday, the Melville-based company said it had sales of $31.1 million in the quarter ended May 27, compared to $27.4 million in the previous year's quarter.
Sales of printed circuit materials totaled $20.7 million, a gain of more than 10 percent from the previous year's quarter. Aerospace sales accounted for $10.4 mllion, an increase of almost 20 percent compared to the year-earlier quarter. In a conference call after the earnings report was released, chief executive Brian E. Shore said Park is estimating aerospace sales of $11 million in the second quarter despite indications that some supply deals are "ramping a little slower than predicted."
First quarter net income more than doubled to $3.2 million, or 16 cents per diluted share, compared to $1.4 million, or 7 cents per diluted share, in the prior year's quarter.
The company's stock closed up almost 17 percent Friday at $23.30. Shares have climbed about 50 percent in the past 12 months.
Park has been working to develop its nascent aerospace materials business as its printed-circuit materials business faces competition from the Far East.
In May, Shore said the company is pursuing the sale of its printed-circuit materials business, which accounted for 67 percent of sales in the first quarter.
In the conference call, Shore said that by the end of the second quarter, the company would announce a deal or the discontinuation of efforts to sell the unit.
"We're now pretty deep into this strategic evaluation, potential sale process," Shore said. "We want to bring this process to a closure...We'll only sell if we think it's the right thing for Park."
Park is the 22nd largest public company on Long Island based on 2017 revenue.