Comtech Telecommunications announces promotions, higher sales
Comtech Telecommunications headquarters in Melville. The company announced promotions and higher revenues. Credit: Newsday/David Trotman-Wilkins
Comtech Telecommunications Corp. Wednesday announced executive promotions and posted higher fourth-quarter net sales but flat earnings per share, a result attributed to updated tax estimates.
The Melville-based maker of advanced communications systems made the announcements after Wednesday's market close.
Shares of Comtech climbed 5.1 percent Wednesday to close at $36.50, but fell about 12 percent to $32 in after-hours trading. Twelve months ago the stock was trading at $21.
Michael Porcelain, 49, who joined Comtech in 2002, was promoted from chief financial officer to chief operating officer. His successor as CFO is Michael Bondi, 45, who has served as controller since 2004. The promotions take effect Oct. 1.
Net sales for the period ended July 31 were $167.4 million, compared to $147.8 million in the prior year's quarter.
Net income was $7.5 million, or 31 cents per diluted share, versus $7.3 million, or 31 cents per diluted share, in the 2017 period.
The company said that updated estimates under the federal Tax Cuts and Jobs Act trimmed $2.3 million from the latest quarter's net income figures.
"We enter fiscal 2019 with a record high backlog and strong business momentum in each of our two operating segments," Fred Kornberg, Comtech president and chief executive, said in a statement.
The company forecast net sales of about $600 million to $625 million and diluted earnings per share of 89 cents to $1.10 in fiscal 2019.
On Tuesday the company announced that a subsidiary had received orders totaling $9.1 million to supply thermal imaging radar and specialized communications systems to the Iraqi navy.
On Wednesday the company said it had received an additional $4 million in a previously announced $123.6 million contract to provide mobile satellite communications equipment to the U.S. Army.
Ken Schachter covers corporate news, including technology and aerospace, and other business topics for Newsday. He has also worked at The Miami Herald and The Jerusalem Post.
Updated now Newsday travel writer Scott Vogel took the ferry over to Block Island for a weekend of fun.
Updated now Newsday travel writer Scott Vogel took the ferry over to Block Island for a weekend of fun.
