Jasper-based Kimball Electronics Inc. (Nasdaq: KE) is reporting fiscal 2018 net income of $16.8 million, compared to $34.2 million a year ago. The manufacturer says fiscal fourth quarter profit was also down to $5.8 million from $8.1 million during the same period in 2017. Chief Executive Officer Donald Charron said the results were affected by the planned $50 million acquisition of California-based GES Holdings Inc. The deal is expected to close in the next three months.
Despite the dip, Charron says the company beat a long-term goal of $1 billion in annual sales during the fiscal year, driven by growth in automotive and medical markets. He says the company has achieved double-digit year-over-year sales growth for the four consecutive quarters. "We are pleased to have improved our operating income margin by 60 basis points from the prior year quarter and 20 basis points sequentially when compared to the third quarter," Charron added. "The much-anticipated progress in Romania came through in the fourth quarter helping to drive the improved overall performance, and we look forward to their continued growth and positive contributions in fiscal year 2019."
The company is targeting an annual organic growth rate in net sales of 8 percent. You can connect to the full report by clicking here.