Farmingdale defense contractor Telephonics sees 19% drop in revenue
Telephonics Corp. headquarters in Farmingdale on Dec. 15, 2011. The defense contractor posted a 19 percent year-over-year decrease in first quarter revenue to $88.1 million, its publicly traded parent company, Manhattan-based Griffon Corp., reported Tuesday, Jan. 31, 2017. Credit: Steve Pfost
Farmingdale defense contractor Telephonics Corp. posted a 19 percent year-over-year decrease in first quarter revenue to $88.1 million, its publicly traded parent company, Manhattan-based Griffon Corp., reported Tuesday.
In a conference call, Griffon chief executive Ronald J. Kramer attributed the weak results to a “trough in the defense cycle” and the continuing impact of automatic spending cuts required by Congress’ sequestration policy.
Telephonics’ contract backlog was $384 million for the quarter ended Dec. 31, compared to $420 million at Sept. 30.
Telephonics makes identification “friend or foe” systems, which electronically tag allied aircraft, and radars used for surveillance and border protection.
Kramer said systems used in patrolling borders “remains a significant opportunity for us.”
Griffon, which also has units that make plastic and home and building products, reported a 5 percent decline in overall revenue to $467.1 million. Net income was $12.3 million, or 29 cents per share, compared to $10.8 million, or 24 cents per share, in the prior year’s quarter. The most recent quarter’s increased net income was attributed in part to greater tax benefits.
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.
Navigating politics over Thanksgiving and where to get holiday pies. Here's a look at some of the exclusive stories you may have missed this week on NewsdayTV.
Navigating politics over Thanksgiving and where to get holiday pies. Here's a look at some of the exclusive stories you may have missed this week on NewsdayTV.
