Defense Speak Interpreted: Is DARPA Still Around After CHIPS?
Beyond the Board: Orbital High Ground—Why Space Superiority Is Slipping Away
The Government Circuit: Trump’s Trade War Disrupts the Electronics Ecosystem
Sparton Reports Q1 FY2018 Net Sales of Nearly $83M
November 14, 2017 | Sparton Corp.Estimated reading time: 1 minute
Sparton Corporation has announced consolidated net sales of $82.8 million and gross profit margin of 17.6% for the first quarter of fiscal year 2018 ended October 1, 2017.
"As a result of our recent growth in new program wins, we experienced some interruptions in production and increased inventory levels which is typical with new program introductions. We believe that the backlog from these programs has us positioned for growth in the upcoming quarters and beyond," commented Joseph J. Hartnett, interim president and CEO.
Joseph G. McCormack, senior vice president and CFO, commented, "We experienced net cash outflows and increasing debt in the quarter. This was principally the result of the timing of a payment from the U.S. Navy, significant transaction-related costs as a result of the signing of the merger agreement during the quarter, increasing inventories as a result of the new product introductions, as well as typical year-end compensation related payments. The underlying fundamentals of the business remain unchanged and we expect to return to positive free cash flows and reducing our debt levels in the second quarter."
MDS Segment:
- Gross sales of $55.3 million
- Gross profit margin of 10.8%
- Operating loss of $1.5 million
- Adjusted EBITDA of $3.3 million, a 1.5% adjusted EBITDA margin
- New program wins in Q4 have expected revenue of $11.7 million when fully ramped up into production
- Trailing four quarter new program win revenue of $61.9 million, which continues to support our future organic growth
ECP Segment:
- Gross sales of $30.4 million
- Gross profit margin of 28.3%
- Operating income of $4.1 million
- Adjusted EBITDA of $5.7 million, a 15.4% adjusted EBITDA margin
About Sparton Corporation
Sparton Corporation now in its 118th year, is a provider of complex and sophisticated electromechanical devices with capabilities that include concept development, industrial design, design and manufacturing engineering, production, distribution, field service, and refurbishment. The primary markets served are Medical & Biotechnology, Military & Aerospace, and Industrial & Commercial. Headquartered in Schaumburg, IL, Sparton currently has thirteen manufacturing locations and engineering design centers worldwide. For more information, click here.
Share on:
Suggested Items
Moog Announces Acquisition of COTSWORKS
07/07/2025 | BUSINESS WIREMoog Inc., a worldwide designer, manufacturer and systems integrator of high-performance precision motion and fluid controls and control systems, announced the acquisition of COTSWORKS Inc., an aerospace and defense fiber optics transceiver component manufacturer, for a purchase price of $63 million.
S&K Aerospace Awarded Major Contract Under DLA Maritime Acquisition Advancement Program
07/02/2025 | BUSINESS WIRES&K Aerospace, LLC has been awarded a significant contract under the Defense Logistics Agency’s (DLA) Maritime Acquisition Advancement Program, managed by the U.S. Naval Supply Command - Weapon Systems Support (NAVSUP WSS) in Mechanicsburg, PA.
Green Circuits to Exhibit Full-Service Electronics Manufacturing Solutions at 2025 SMD Symposium
07/02/2025 | Green CircuitsGreen Circuits, a full-service Electronics Manufacturing Services (EMS) partner to leading OEMs, is pleased to announce its participation in the 2025 SMD Symposium, taking place August 5-7 at the Von Braun Center in Huntsville, Alabama.
I-Connect007 Editor’s Choice: Five Must-Reads for the Week
06/27/2025 | Nolan Johnson, I-Connect007While news outside our industry keeps our attention occupied, the big news inside the industry is the rechristening of IPC as the Global Electronics Association. My must-reads begins with Marcy LaRont’s exclusive and informative interview with Dr. John Mitchell, president and CEO of the Global Electronics Association. For designers, have we finally reached the point in time where autorouters will fulfill their potential?
Knocking Down the Bone Pile: Tin Whisker Mitigation in Aerospace Applications, Part 3
06/25/2025 | Nash Bell -- Column: Knocking Down the Bone PileTin whiskers are slender, hair-like metallic growths that can develop on the surface of tin-plated electronic components. Typically measuring a few micrometers in diameter and growing several millimeters in length, they form through an electrochemical process influenced by environmental factors such as temperature variations, mechanical or compressive stress, and the aging of solder alloys.