<PAGE> 1
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON D.C. 20549
FORM 10-Q
(Mark One)
/X/ QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the quarterly period ended JULY 27, 1996
OR
/ / TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the transition period from ________ to __________
Commission file number 1-5609
UNITRODE CORPORATION
(Exact name of registrant as specified in its charter)
MARYLAND 04-2271186
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
7 CONTINENTAL BOULEVARD, MERRIMACK, NEW HAMPSHIRE 03054
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (603) 424-2410
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of Securities Exchange Act of 1934 during the
preceding 12 months (or for such shorter period that the registrant was required
to file such reports), and (2) has been subject to such filing requirements for
the past 90 days. Yes X No
----- -----
There were 11,538,323 shares of common stock outstanding as of July 27, 1996.
-1-
<PAGE> 2
PART I. FINANCIAL INFORMATION
Item 1. Financial Statements
Unitrode Corporation
<TABLE>
Consolidated Balance Sheets
<CAPTION>
July 27, 1996 January 31, 1996
Assets (Unaudited)
- --------------------------------------------------------------------------
<S> <C> <C>
Current assets:
Cash and cash equivalents $ 37,052,812 $ 36,228,314
Accounts receivable, net of allowance
of $367,657 in July, 1996
and $367,804 in January, 1996 16,183,864 17,904,537
Notes receivable 894,446 884,645
Inventories:
Raw materials 1,507,838 1,698,344
Work in process 6,708,530 5,384,901
Finished goods 3,828,222 2,888,182
------------ ------------
Total inventory 12,044,590 9,971,427
------------ ------------
Deferred income taxes 3,884,000 4,112,000
Prepaid expenses and other
current assets 1,900,940 2,241,077
------------ ------------
Total current assets 71,960,652 71,342,000
------------ ------------
Property, plant and equipment, at cost 87,139,474 79,078,555
Less accumulated depreciation 49,088,028 43,789,869
------------ ------------
Property, plant and equipment, net 38,051,446 35,288,686
------------ ------------
Notes and other receivables, net of
unamortized discount of $66,667 in
July, 1996 and $78,095 in January, 1996 3,863,328 4,341,604
Deferred income taxes 254,000 102,000
Restricted cash and investments 579,760 437,285
Excess of cost over net assets acquired,
net of accumulated amortization of
$1,968,205 in July, 1996 and
$1,826,203 in January, 1996 2,122,124 2,264,126
Other investments 2,500,000 1,000,000
Other assets and deferred charges 3,583,067 3,648,505
------------ ------------
Total assets $122,914,377 $118,424,206
============ ============
</TABLE>
The accompanying notes are an integral part of the financial statements.
-2-
<PAGE> 3
Unitrode Corporation
<TABLE>
Consolidated Balance Sheets
<CAPTION>
July 27, 1996 January 31, 1996
Liabilities and Stockholders' Equity (Unaudited)
- ------------------------------------------------------------------------------
<S> <C> <C>
Current liabilities:
Accounts payable $ 7,556,644 $ 8,401,521
Income taxes payable 1,237,008 2,000,229
Accrued employee compensation and benefits 3,417,523 7,794,635
Other current liabilities 5,704,783 5,998,299
------------ ------------
Total current liabilities 17,915,958 24,194,684
------------ ------------
Deferred income taxes 1,314,000 1,340,000
Other long-term liabilities 595,527 472,348
------------ ------------
Total liabilities 19,825,485 26,007,032
------------ ------------
Stockholders' equity:
Common stock, $.20 par value;
Authorized - 30,000,000 shares
Issued - 11,538,323 in July, 1996 and
11,467,948 in January, 1996 2,307,665 2,293,590
Additional paid-in capital 26,242,636 25,582,283
Retained earnings 74,738,826 64,838,832
------------ ------------
103,289,127 92,714,705
Less:
Deferred compensation 200,235 297,531
------------ ------------
Total stockholders' equity 103,088,892 92,417,174
------------ ------------
Total liabilities and
stockholders' equity $122,914,377 $118,424,206
============ ============
</TABLE>
The accompanying notes are an integral part of the financial statements.
-3-
<PAGE> 4
Unitrode Corporation
<TABLE>
Consolidated Statements of Operations
(Unaudited)
<CAPTION>
For the three months ended July 27, 1996 July 29, 1995
- --------------------------------------------------------------------------------
<S> <C> <C>
Net sales $30,008,588 $28,300,071
Cost of sales 14,102,717 13,508,239
----------- -----------
Gross profit 15,905,871 14,791,832
----------- -----------
Operating expenses:
Research and development 4,029,972 3,440,040
Selling, general and administrative 5,274,711 5,461,856
----------- -----------
Total operating expenses 9,304,683 8,901,896
----------- -----------
Income from operations 6,601,188 5,889,936
----------- -----------
Other income (expense):
Royalty income 560,690 559,715
Non-operating income (expense), net 37,748 (144,563)
Interest income 478,095 374,335
Interest expense (23,609) (21,965)
----------- -----------
Total other income 1,052,924 767,522
----------- -----------
Income before income tax provision 7,654,112 6,657,458
Income tax provision 2,947,000 2,483,000
----------- -----------
Net income $ 4,707,112 $ 4,174,458
=========== ===========
Earnings per common share:
Net income $ .40 $ .35
=========== ===========
Average common and common equivalent
shares outstanding 11,837,747 11,814,671
=========== ===========
</TABLE>
The accompanying notes are an integral part of the financial statements.
-4-
<PAGE> 5
Unitrode Corporation
<TABLE>
Consolidated Statements of Operations
(Unaudited)
<CAPTION>
For the six months ended July 27, 1996 July 29, 1995
- -------------------------------------------------------------------------
<S> <C> <C>
Net sales $64,229,125 $53,624,528
Cost of sales 30,118,497 25,610,117
----------- -----------
Gross profit 34,110,628 28,014,411
----------- -----------
Operating expenses:
Research and development 8,480,289 6,485,629
Selling, general and administrative 11,635,522 10,685,249
----------- -----------
Total operating expenses 20,115,811 17,170,878
----------- -----------
Income from operations 13,994,817 10,843,533
----------- -----------
Other income (expense):
Royalty income 1,255,154 1,122,728
Non-operating income (expense), net 25,248 (157,521)
Interest income 910,356 828,720
Interest expense (47,047) (44,168)
----------- -----------
Total other income 2,143,711 1,749,759
----------- -----------
Income before income tax provision 16,138,528 12,593,292
Income tax provision 6,170,000 4,620,000
----------- -----------
Net income $ 9,968,528 $ 7,973,292
=========== ===========
Earnings per common share:
Net income $ .84 $ .67
=========== ===========
Average common and common equivalent
shares outstanding 11,846,401 11,932,624
=========== ===========
</TABLE>
The accompanying notes are an integral part of the financial statements.
-5-
<PAGE> 6
Unitrode Corporation
<TABLE>
Consolidated Statements of Cash Flows (Unaudited)
<CAPTION>
For the six months ended July 27, 1996 July 29, 1995
- ------------------------------------------------------------------------------------------
<S> <C> <C>
Cash flows from operating activities:
Net income $ 9,968,528 $ 7,973,292
Adjustments to reconcile net income to
net cash provided by operating activities:
Depreciation and amortization 5,534,148 4,105,648
Deferred compensation 76,671 113,437
Deferred income taxes 50,000 (215,000)
Other, net 152,216 159,928
(Increase) decrease in assets:
Accounts receivable 1,710,673 (3,375,722)
Inventories (2,073,163) (867,053)
Other current and long-term assets 200,617 19,779
Increase (decrease) in liabilities:
Accounts payable (844,877) (1,214,098)
Income taxes payable (763,221) 280,892
Accrued employee compensation and benefits (4,377,112) 290,336
Other current and long-term liabilities (170,337) (357,280)
----------- -----------
Total adjustments (504,385) (1,059,133)
----------- -----------
Net cash provided by operating activities 9,464,143 6,914,159
----------- -----------
Cash flows from investing activities:
Purchase of property, plant and equipment (8,161,994) (3,099,199)
Proceeds on sale of assets 84,383 419,449
Repayment of notes receivable 479,903 470,579
Restricted cash and investments (142,475) -
Other investments (1,501,528) (85,331)
Accrued disposal costs - (93,762)
Maturities of short-term investments 4,345,200 14,200,750
Purchases of short-term investments (4,369,653) (1,289,427)
----------- -----------
Net cash provided (used) by investing activities (9,266,164) 10,523,059
----------- -----------
Cash flows from financing activities:
Principal payments on debt - (115,384)
Proceeds from exercise of common stock options 719,131 765,837
Purchase of common stock (92,612) (10,025,275)
----------- -----------
Net cash provided (used) by financing activities 626,519 (9,374,822)
----------- -----------
Net increase in cash and cash equivalents 824,498 8,062,396
Cash and cash equivalents at beginning of period 36,228,314 17,752,008
----------- -----------
Cash and cash equivalents at end of period $37,052,812 $25,814,404
=========== ===========
Supplemental information:
Interest paid $ 43,000 $ 46,000
Income taxes paid, net of tax refunds 6,894,000 4,554,000
</TABLE>
The accompanying notes are an integral part of the financial statements.
-6-
<PAGE> 7
Unitrode Corporation
Notes to Consolidated Financial Statements
July 27, 1996
(Unaudited)
Note 1 - Basis of Presentation
- ------------------------------
The accompanying unaudited consolidated financial statements have been prepared
in accordance with generally accepted accounting principles for interim
financial information and pursuant to the rules and regulations of the
Securities and Exchange Commission. Accordingly, they do not include all of the
information and footnotes required by generally accepted accounting principles
for complete financial statements. For further information, refer to the
consolidated financial statements and footnotes included in the annual report on
Form 10-K of Unitrode Corporation (the "Company") for the year ended January 31,
1996.
In the opinion of management, all adjustments considered necessary for a fair
presentation have been included. Operating results for the six-month period
ended July 27, 1996 are not necessarily indicative of the results that may be
expected for the year ended January 31, 1997. Certain amounts for fiscal year
1996 have been reclassified to conform with presentation of similar amounts in
fiscal year 1997.
Note 2 - New Accounting Standards
- ---------------------------------
Effective February 1, 1996, the Company adopted "Accounting for the Impairment
of Long-Lived Assets and for Long-Lived Assets to be Disposed of" ("SFAS No.
121"). The adoption of SFAS No. 121 had no material effect on the Company's
financial statements.
In October 1995, Statement of Financial Accounting Standards No. 123,
"Accounting for Stock-Based Compensation" ("SFAS No. 123"), was issued and will
require the Company to elect either expense recognition or a disclosure-only
alternative for stock-based employee compensation. SFAS No. 123 must be adopted
in the Company's fiscal year 1997 financial statements with comparable
disclosures for the prior year. The Company has determined that it will elect
the disclosure-only alternative. The Company will be required to disclose pro
forma net income and earnings per share in the notes to the financial statements
using the fair-value-based method beginning in fiscal year 1997 with comparable
disclosures for fiscal year 1996. The Company has not yet determined the impact
of these pro forma adjustments to its net income or earnings per share.
Note 3 - Acquisitions and Dispositions of Assets
- ------------------------------------------------
On February 28, 1996, the Company made an additional $1.5 million investment in
GMT Microelectronics Corporation ("GMT") redeemable preferred stock. GMT is a
foundry in which the Company has a minority investment and has a right to a
certain percentage of its capacity.
-7-
<PAGE> 8
Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations
RESULTS OF OPERATIONS
- ---------------------
Three Months Ended July 27, 1996 versus Three Months Ended July 29, 1995
Net sales for the quarter ended July 27, 1996 were $30.0 million compared with
$28.3 million in the previous year's second quarter, an increase of $1.7 million
or 6%. This increase in sales was primarily due to the increase in demand for
products in the computer peripherals segment of the electronic data processing
markets. Product sales to one of the Company's customers represented
approximately 28% and 22% of sales for the second quarter of fiscal years 1997
and 1996, respectively. Approximately 66% of sales in the second quarter were
international compared with 60% in the prior year.
Gross profit as a percentage of net sales was 53.0% for the second quarter of
fiscal year 1997, an increase of approximately one percentage point compared to
the same quarter in the prior year. This improvement was primarily due to
favorable product mix increasing the overall average selling prices.
Research and development expenses were 13% of net sales, or $4.0 million,
compared with 12%, or $3.4 million, in the prior year. This increase of
approximately $0.6 million related primarily to increased staffing and
additional product and process development efforts to support opportunities in
the Company's markets. Selling, general and administrative expenses were 18% of
net sales, or $5.3 million, compared with 19%, or $5.5 million, in the previous
year's second quarter. This percentage decrease was due primarily to the
increased sales volume.
The consolidated effective tax rate for the quarter ended July 27, 1996 was
38.5% compared with 37.3% for the quarter ended July 29, 1995. This increase was
due primarily to the absence in fiscal year 1997 of benefits related to tax
credits that were available in fiscal year 1996.
Net income was $4.7 million, or $.40 per share, for the second quarter of fiscal
year 1997 compared to $4.2 million, or $.35 per share, for the second quarter of
fiscal year 1996, an increase of 13%.
Bookings in the second quarter decreased 7%, or approximately $2.1 million to
$29.1 million as compared with the prior year's second quarter. Backlog at July
27, 1996 increased 18% to $38.7 million compared with $32.9 million at July 29,
1995, but decreased 2.5%, or $1.0 million, as compared with the previous
quarter. The book-to-bill ratio for the second quarter was .97 compared to 1.10
in the prior year's second quarter. The decrease in bookings and the lower
book-to-bill ratio reflect the current conditions in the marketplace such as
smaller quantity orders due to sufficient customer inventories, shorter order
lead times due to expanded vendor capacity and slower market growth rates for
certain computer and communication products.
-8-
<PAGE> 9
RESULTS OF OPERATIONS (CONTINUED)
- ---------------------
Six Months Ended July 27, 1996 versus Six Months Ended July 29, 1995
Net sales for the six months ended July 27, 1996 were $64.2 million, an increase
of 20%, compared with $53.6 million in the prior year's first six months. This
sale increase was primarily due to the increase in demand for products in the
computer peripherals segment of the electronic data processing markets. Product
sales to one of the Company's customers represented approximately 26% and 21% of
sales for the six months ended July 27, 1996 and July 29, 1995, respectively.
International sales accounted for approximately 65% of total sales for the six
months ended July 27, 1996 compared to 61% for the six months ended July 29,
1995.
Gross profit as a percentage of net sales increased by almost one percentage
point to 53.1%, compared with the prior year. This improvement was primarily due
to favorable product mix increasing the overall average selling prices.
Research and development expenses were approximately 13% of net sales for the
first six months of fiscal year 1997 compared with approximately 12% in fiscal
year 1996. This increase of approximately $2.0 million relates primarily to
increased staffing and additional product and process development efforts to
support opportunities in the Company's markets. Selling, general and
administrative expenses were approximately 18% of net sales for the six months
ended July 27, 1996 compared to 20% for the six months ended July 29, 1995. The
percentage decrease was principally due to the increased sales volume.
Royalty income increased by $132,000 principally due to certain lump sum
receipts and additional licensees under the Company's agreement with
International Rectifier Corporation.
The consolidated effective tax rate for the six months ended July 27, 1996 was
38.2% compared with 36.7% for the six months ended July 29, 1995. This increase
was due primarily to the absence in fiscal year 1997 of benefits related to tax
credits that were available in fiscal year 1996.
Net income for the six months ended July 27, 1996 was $10.0 million, or $.84 per
share, compared with $8.0 million, or $.67 per share, in the prior fiscal year,
an increase of 25%.
Bookings for the first six months of fiscal year 1997 were approximately $65.2
million which represents an increase of 11%, or $6.6 million, from the
comparable period in the prior year. New orders increased primarily due to the
growth of the electronic data processing market during the first quarter,
although partially offset by a slower market growth rate in the second quarter.
The book-to-bill ratio for the six months ended July 27, 1996 was 1.02 compared
to 1.09 in the prior year.
-9-
<PAGE> 10
FINANCIAL CONDITION
- -------------------
Cash and cash equivalents at July 27, 1996 increased by $0.8 million since the
beginning of fiscal year 1997. The principal sources of cash were $9.5 million
from operating activities and $0.7 million in proceeds from exercises of
employee stock options under the Company's Stock Option Plans. The principal
uses of cash were $8.2 million in capital expenditures and a $1.5 million
investment in the redeemable preferred stock of GMT Microelectronics
Corporation, a wafer fabrication foundry utilized by the Company in which the
Company maintains a minority interest.
The ratio of current assets to current liabilities improved to 4.02:1 at July
27, 1996 compared with 2.95:1 at January 31, 1996. Working capital of $54.0
million at July 27, 1996 increased by $6.9 million from January 31, 1996. It is
anticipated that the Company's cash needs for fiscal year 1997, including
planned capital expenditures, will be met by internally generated funds and
available cash.
The Company has begun a new wafer fabrication expansion program which is
expected to be completed in various phases over the next several years at a cost
of approximately $59 million. The initial phase is currently expected to cost
approximately $40 million. Actual timing of expenditures may vary depending on
the demand for the Company's products and costs for construction and equipment.
In fiscal year 1997, the Company expects to spend a total of approximately $28
million in capital expenditures consisting of $11 million to support ongoing
operations and $17 million under the Company's wafer fabrication expansion
program.
Accounts receivable at July 27, 1996 decreased by $1.7 million from January 31,
1996 to $16.2 million. Receivable day sales outstanding were 50 days at July 27,
1996 compared to 48 days at January 31, 1996. Inventory has increased by $2.1
million since January 31, 1996 to accommodate current market conditions such as
shorter customer order lead times.
Accrued employee compensation and benefits has decreased by $4.4 million since
year-end primarily due to incentive compensation benefit payments relating to
fiscal year 1996 performance, such as profit sharing and management, sales and
employee bonuses.
NEW ACCOUNTING STANDARDS
- ------------------------
See Note 2 in the Company's consolidated financial statements for a discussion
of recently issued accounting standards.
FORWARD-LOOKING INFORMATION
- ---------------------------
The Private Securities Litigation Reform Act of 1995 ("the Act") provides a new
"safe harbor" for forward-looking statements so long as those statements are
identified as forward-looking and are accompanied by meaningful cautionary
statements identifying important factors that could cause actual results to
differ materially from those discussed in the statement. The Company desires to
take advantage of the new "safe harbor" provisions of the Act. Certain
information contained herein, particularly the information appearing under the
headings "Results of Operations" and "Financial Condition" are forward-looking.
Information regarding certain important factors that could cause actual results
of operations or outcomes of other events to differ materially from any such
forward-looking statement appear together with such statement, and/or elsewhere
herein. This information should be read in conjunction with the Company's annual
report on Form 10-K for the year ended January 31, 1996, particularly the
information appearing under the heading "Factors Affecting Future Results" in
the "Management's Discussion and Analysis of Financial Condition and Results of
Operations" section of the report.
-10-
<PAGE> 11
PART II. OTHER INFORMATION
Unitrode Corporation
July 27, 1996
Item 1. Legal Proceedings
- --------------------------
None.
Item 2. Changes in the Rights of the Company's Security Holders
- ----------------------------------------------------------------
None.
Item 3. Defaults upon Senior Securities
- ----------------------------------------
Not Applicable.
Item 4. Submission of Matters to a Vote of Security Holders
- ------------------------------------------------------------
<TABLE>
The Registrant's annual meeting of stockholders was held on June 3, 1996, at
which one matter was submitted to a vote of security holders: the election of
Louis E. Lataif and James T. Vanderslice as directors of the Registrant, each
for a three-year term ending in 1999. As of April 5, 1996, the record date for
said meeting, there were outstanding 11,487,723 shares of the Registrant's
common stock entitled to vote at the meeting. At such meeting, the holders of
10,518,400 shares were represented in person or by proxy, constituting a quorum.
At such meeting, the vote with respect to the matter proposed to the
stockholders was as follows:
<CAPTION>
Election of Directors:
For Withheld or Against
--- -------------------
<S> <C> <C>
Mr. Lataif 10,502,940 15,460
Mr. Vanderslice 10,502,340 16,060
</TABLE>
Item 5. Other Information
- --------------------------
None.
Item 6. Exhibits and Reports on Form 8-K
- -----------------------------------------
(a) Exhibits
--------
Exhibit 11 - Computation of Primary and Fully Diluted Earnings per
Share
Exhibit 27 - Financial Data Schedule
(b) REPORTS ON FORM 8-K: No reports on Form 8-K were filed by the
Registrant during the second quarter of the fiscal year ended
January 31, 1997.
-11-
<PAGE> 12
Unitrode Corporation
July 27, 1996
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
UNITRODE CORPORATION
September 10, 1996 /s/ Robert L. Gable
- ------------------ ------------------------------------
Date Robert L. Gable
Chairman and Chief Executive Officer
September 10, 1996 /s/ Cosmo S. Trapani
- ------------------ ------------------------------------
Date Cosmo S. Trapani
Executive Vice President and
Chief Financial Officer
(Principal Financial and Accounting
Officer)
-12-
<PAGE> 1
Exhibit 11
Unitrode Corporation
<TABLE>
Computation of Primary and Fully Diluted Earnings per Share
<CAPTION>
Three months ended July 27, 1996 July 29, 1995
- -------------------------------------------------------------------------------------
<S> <C> <C>
Net income $ 4,707,112 $ 4,174,458
=========== ===========
Primary earnings per share:
- ---------------------------
Weighted average of common shares outstanding 11,510,311 11,414,307
Equivalent shares arising from the assumed
exercise of stock options 327,436 400,364
----------- -----------
Weighted average of common and common
equivalent shares outstanding 11,837,747 11,814,671
=========== ===========
Net income $ .40 $ .35
=========== ===========
Fully diluted earnings per share:
- ---------------------------------
Weighted average of common and common
equivalent shares outstanding
(as determined for Primary earnings
per share above) 11,837,747 11,814,671
Incremental shares to reflect full
dilution --(1) 65,317(1)
----------- -----------
Weighted average of common and common
equivalent shares outstanding, as
adjusted 11,837,747 11,879,988
=========== ===========
Net income $ .40 $ .35
=========== ===========
- ----------
<FN>
(1) This calculation is submitted in accordance with Regulation S-K item
601(b)(11) although not required by footnote 2 to paragraph 14 of APB
Opinion No. 15 because it results in dilution of less than 3%.
</TABLE>
<PAGE> 2
Exhibit 11
Unitrode Corporation
<TABLE>
Computation of Primary and Fully Diluted Earnings per Share
<CAPTION>
Six months ended July 27, 1996 July 29, 1995
- -------------------------------------------------------------------------------------
<S> <C> <C>
Net income $ 9,968,528 $ 7,973,292
=========== ===========
Primary earnings per share:
- ---------------------------
Weighted average of common shares outstanding 11,494,420 11,552,078
Equivalent shares arising from the assumed
exercise of stock options 351,981 380,546
----------- -----------
Weighted average of common and common
equivalent shares outstanding 11,846,401 11,932,624
=========== ===========
Net income $ .84 $ .67
=========== ===========
Fully diluted earnings per share:
- ---------------------------------
Weighted average of common and common
equivalent shares outstanding
(as determined for Primary earnings
per share above) 11,846,401 11,932,624
Incremental shares to reflect full
dilution --(1) 53,375(1)
----------- -----------
Weighted average of common and common
equivalent shares outstanding, as
adjusted 11,846,401 11,985,999
=========== ===========
Net income $ .84 $ .67
=========== ===========
- ----------
<FN>
(1) This calculation is submitted in accordance with Regulation S-K item
601(b)(11) although not required by footnote 2 to paragraph 14 of APB
Opinion No. 15 because it results in dilution of less than 3%.
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<MULTIPLIER> 1
<CURRENCY> U.S. DOLLARS
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> JAN-31-1997
<PERIOD-START> FEB-01-1996
<PERIOD-END> JUL-27-1996
<EXCHANGE-RATE> 1
<CASH> 37,052,812
<SECURITIES> 0
<RECEIVABLES> 16,551,521
<ALLOWANCES> 367,657
<INVENTORY> 12,044,590
<CURRENT-ASSETS> 71,960,652
<PP&E> 87,139,474
<DEPRECIATION> 49,088,028
<TOTAL-ASSETS> 122,914,377
<CURRENT-LIABILITIES> 17,915,958
<BONDS> 0
<COMMON> 2,307,665
0
0
<OTHER-SE> 100,781,227
<TOTAL-LIABILITY-AND-EQUITY> 122,914,377
<SALES> 64,229,125
<TOTAL-REVENUES> 64,229,125
<CGS> 30,118,497
<TOTAL-COSTS> 30,118,497
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 10,000
<INTEREST-EXPENSE> 47,047
<INCOME-PRETAX> 16,138,528
<INCOME-TAX> 6,170,000
<INCOME-CONTINUING> 9,968,528
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 9,968,528
<EPS-PRIMARY> .84
<EPS-DILUTED> .84
</TABLE>
