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Shares of Transcat Inc. were up 10 percent Wednesday afternoon after the company reported a record year of revenues and profit.
The Ogden-based service provider and distributor of calibration and measurement instruments reported its fiscal 2013 fourth-quarter and full-year results Tuesday.
Transcat reported net income of $1.8 million, or 24 cents a diluted share, for the quarter, up from $1.2 million, or 16 cents a diluted share, a year ago. Revenues increased 1 percent, from $30.8 million to $31.1 million.
Transcat’s operating income for the quarter was $3 million, up $1 million from a year ago.
Lee Rudow, president and chief operating officer, attributed the company’s results to key acquisitions, including the purchase of Anacor Compliance Services Inc., a Pennsylvania-based provider of specialized analytical, calibration, compliance and validation services, last July.
“Our strategic acquisitions in the service segment provided $1.5 million in fourth-quarter revenue, resulting in a record quarter and more than offset the decrease in distribution sales,” said Rudow, in a statement. “Coming off a robust fiscal 2012 and despite the record revenue and net income, the challenging economic environment in fiscal 2013 was a major factor in achieving less than expected results, which reduced performance-based compensation.”
Overall, for fiscal 2013, Transcat reported net income of $3.7 million, or 49 cents a diluted share, up from $3.3 million, or 43 cents a diluted share, in fiscal 2012. The company also logged revenues of $112.3 million, up from $110 million.
Transcat’s service segment revenue for the fiscal year grew nearly 12 percent to $40.7 million, offsetting a $2 million decrease in distribution segment sales.
“The successful implementation of our strategies has resulted in revenue growth of nearly 60 percent and earnings per share growth of over 50 percent in the last five years,” said Charles Hadeed, CEO of Transcat, in a statement. “While maintaining our position as the premier source for the highest quality test and measurement instruments, we believe we are making measureable headway in capturing a greater share of the calibration services market.”
Shares of Transcat’s stock (Nasdaq: TRNS) were up 65 cents at $7.15.
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