Exhibit
99.1
Clearfield,
Inc. Reports $.03 per Share Quarterly Earnings; Continued Growth in
Revenue
Net
Sales were $4.7M, up 4% from same quarter of last year
Gross
Profit was $1.45M, up 7% from same quarter of last year
Earnings
from Continuing Operations of $100K
One-Time
Earnings of $297K as a Result of Reversal of Long-Term Lease
Obligation
MINNEAPOLIS, MN --(MARKET WIRE)—February
12, 2008 – Clearfield, Inc. (Nasdaq: CLFD formerly operating as APA Enterprises
and former symbol APAT) today announced results for the first quarter ending
December 31, 2007. The Company reported net income of $395,000 compared to a
loss of $429,000 in the same period of the previous year. Key to the
results was ongoing revenue and gross profit growth within its continuing
operation (formerly known as APA Cables & Networks, Inc.), the closure of
the Optronics business unit, and the reversal of a long-term lease obligation
expense reported in a prior period.
Revenue
for the quarter ending December 31, 2007 was $4,697,000 in comparison to
$4,505,000 for the similar period in 2006, an increase of 4 percent. Gross
profit was $1,449,000 in comparison to $1,355,000 for the earlier period, an
increase of 7 percent. Net income included a one-time gain of $297,000 achieved
from the reversal of the long-term lease obligation related to the purchase and
subsequent sale of the Blaine facility that was previously leased.
Backlog
for future sales as of December 31, 2007 increased by $577,000 to $1,973,000
from September 30, 2007. The increase in backlog is the result of both
heightened demand from target markets as well as operational difficulty
experienced late in the quarter due to the Company’s migration from one
information technology (IT) platform to another within the time period. The
Company believes these challenges are now primarily behind it.
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Clearfield,
Inc./page two
Comments
on Operations
“Over the
past months we have focused the company on building the core business
fundamentals of revenue and earnings growth. I am pleased to report the second
consecutive quarter of gains in shareholder equity as a result,” explains Cheri
Beranek Podzimek, president and CEO of Clearfield. “With our foundation
established and with the recent launch of our patented Clearview Cassette
technology and associated FieldSmart product line, we are confident that the
Company is growing in its ability to compete in the global market.”
About Clearfield,
Inc. Clearfield, Inc., formerly APA Cables & Networks designs and
manufactures the FieldSmart fiber management platform, which includes its latest
generation Fiber Distribution System (FDS) and Fiber Scalability Center (FSC).
The FDS and FSC product-lines support a wide range of panel configurations,
densities, connectors and adapter options and is offered alongside an assortment
of passive optical components. Clearfield also provides a complete line of fiber
and copper assemblies for controlled and outside plant environments. Clearfield
is a public company, traded on Nasdaq: CLFD. www.ClearfieldConnection.com
Forward-Looking
Statements
Forward-looking
statements contained herein are made pursuant to the safe harbor provisions of
the Private Litigation Reform Act of 1995. These statements are based upon the
Company's current expectations and judgments about future developments in the
Company's business. Certain important factors could have a material impact on
the Company's performance, including, without limitation, delays in or increased
costs of production, delays in or lower than anticipated sales of the Company's
new products, the Company's ability to sell such products at a profitable price,
the Company's ability to fund operations, and other factors discussed from time
to time in the Company's filings with the Securities and Exchange Commission.
Readers are cautioned not to place undue reliance on forward-looking statements.
The Company undertakes no obligation to update such statements to reflect actual
events.
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Clearfield,
Inc./page three
FINANCIAL
RESULTS (unaudited)
|
Three
Months Ended December 31,
|
||||||||
|
2007
|
2006
|
|||||||
|
Revenues
|
$ | 4,697,440 | $ | 4,504,508 | ||||
|
Cost
of revenues
|
3,247,969 | 3,149,315 | ||||||
|
Gross
profit
|
1,449,471 | 1,355,193 | ||||||
|
Operating
expenses
|
1,422,459 | 1,429,561 | ||||||
|
Income
(loss) from continuing operations
|
27,012 | (74,368 | ) | |||||
|
Other
income (expense), net
|
98,087 | 89,428 | ||||||
|
Income
from continuing operations before income taxes
|
125,099 | 15,060 | ||||||
|
Income
tax expense (benefit)
|
27,170 | 26,520 | ||||||
|
Net
income (loss) from continuing operations
|
97,929 | (11,460 | ) | |||||
|
Net
income (loss) from discontinued operations
|
342,390 | (421,240 | ) | |||||
|
Net
gain (loss) on disposal of assets of discontinued
operations
|
(44,951 | ) | 3,332 | |||||
|
Total
Income (loss) from discontinued operations
|
297,439 | (417,908 | ) | |||||
|
Net
income
|
$ | 395,368 | $ | (429,368 | ) | |||
|
Net
income (loss) per share (basic and diluted):
|
||||||||
|
Continuing
operations
|
$ | 0.01 | $ | 0.00 | ||||
|
Discontinued
operations
|
$ | 0.02 | $ | (0.04 | ) | |||
|
Total
|
$ | 0.03 | $ | (0.04 | ) | |||
|
Weighted
average shares outstanding
|
||||||||
|
Basic
and diluted
|
11,872,331 | 11,872,331 | ||||||
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Clearfield,
Inc./page four
FINANCIAL
RESULTS (unaudited -continued)
|
December 31,
2007
|
September 30,
2007
|
|||||||
|
Assets
|
||||||||
|
Cash
and cash equivalents
|
$ | 1,158,117 | $ | 3,304,645 | ||||
|
Available
for sale securities
|
5,050,000 | 2,825,000 | ||||||
|
Accounts
receivable, net
|
1,771,608 | 2,418,651 | ||||||
|
Inventories
|
1,565,345 | 1,595,282 | ||||||
|
Other
current assets
|
167,557 | 102,473 | ||||||
|
Property
plant and equipment net
|
1,798,226 | 1,773,739 | ||||||
|
Other
assets
|
3,321,123 | 3,321,778 | ||||||
|
Total
assets
|
$ | 14,831,976 | $ | 15,341,568 | ||||
|
Liabilities
|
||||||||
|
Current
liabilities
|
$ | 1,840,356 | $ | 2,515,612 | ||||
|
Long-term
liabilities
|
371,751 | 613,269 | ||||||
|
Shareholders’
equity
|
||||||||
|
Common
stock
|
118,723 | 118,723 | ||||||
|
Additional
paid-in capital
|
52,049,021 | 52,037,207 | ||||||
|
Accumulated
deficit
|
(39,547,875 | ) | (39,943,243 | ) | ||||
|
Total
shareholders’ equity
|
12,619,869 | 12,212,687 | ||||||
|
Total
liabilities and shareholders’ equity
|
$ | 14,831,976 | $ | 15,341,568 | ||||
Clearfield, Inc. Contact
Information:
Cheryl
Beranek Podzimek
Chief
Executive Officer and President
Investor-relations@clfd.net
763-476-6866
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