<PAGE>
- -------------------------------------------------------------------------------
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
For the quarter ended MARCH 30, 1995 Commission File No. 0-10394
DATA I/O CORPORATION
(Exact name of registrant as specified in its charter)
Washington 91-0864123
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
10525 Willows Road N.E., Redmond, Washington, 98073-9746
(address of principal executive offices, Zip Code)
Registrant's telephone number, including area code (206) 881-6444
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the 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
----- -----
7,521,542 shares of no par value Common Stock outstanding as of May 1, 1995
Page 1 of 14
Exhibit Index on Page 12
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<PAGE>
DATA I/O CORPORATION
FORM 10-Q
FOR THE QUARTER ENDED MARCH 30, 1995
INDEX
PART I - FINANCIAL INFORMATION PAGE
----
Item 1. Financial Statements (unaudited) 3
Item 2. Management's Discussion and Analysis of Financial Condition
and Results of Operations 8
PART II - OTHER INFORMATION
Item 1. Legal Proceedings 12
Item 2. Changes in Securities 12
Item 3. Defaults Upon Senior Securities 12
Item 4. Submission of Matters to a Vote of Security Holders 12
Item 5. Other Information 12
Item 6. Exhibits and Reports on Form 8-K 12
Signatures 13
Exhibit 11 14
<PAGE>
PART I - FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
DATA I/O CORPORATION
CONSOLIDATED BALANCE SHEETS
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------
Mar. 30, Dec. 29,
1995 1994
- -------------------------------------------------------------------------------
(In thousands, except share data) (Unaudited) (Note 1)
<S> <C> <C>
ASSETS
CURRENT ASSETS:
Cash and cash equivalents $ 8,547 $ 7,279
Trade accounts receivable,
less allowance for doubtful
accounts of $278 and $277 11,884 10,145
Inventories 7,552 6,937
Recoverable income taxes 363 453
Deferred income taxes 387 675
Other current assets 1,364 1,361
---------- ----------
TOTAL CURRENT ASSETS 30,097 26,850
Land held for sale 2,031 2,006
Property, plant and equipment - net 10,671 10,737
Other assets 3,796 3,894
---------- ----------
TOTAL ASSETS $46,595 $43,487
---------- ----------
---------- ----------
LIABILITIES AND STOCKHOLDERS' EQUITY
CURRENT LIABILITIES:
Accounts payable $2,838 $ 1,908
Accrued compensation 3,188 3,460
Deferred revenue 5,639 5,331
Other accrued liabilities 2,900 2,786
Accrued costs of business restructuring 1,839 1,890
Income taxes payable 997 997
Notes payable 1,213 440
---------- ----------
TOTAL CURRENT LIABILITIES 18,614 16,812
LONG TERM DEBT 1,500 1,500
LONG TERM OTHER PAYABLES 414 361
DEFERRED INCOME TAXES 459 471
STOCKHOLDERS' EQUITY:
Preferred stock -
Authorized, 5,000,000 shares, including
200,000 shares of Series A Junior Participating
Issued and outstanding, none
Common stock, at stated value -
Authorized, 30,000,000 shares
Issued and outstanding, 7,493,542
and 7,431,901 shares, respectively 20,919 20,729
Retained earnings 4,327 3,185
Currency translation adjustments 362 429
---------- ----------
TOTAL STOCKHOLDERS' EQUITY 25,608 24,343
---------- ----------
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $46,595 $43,487
---------- ----------
---------- ----------
</TABLE>
See notes to consolidated financial statements
<PAGE>
DATA I/O CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
Mar. 30, Mar. 31,
FOR THE QUARTERS ENDED 1995 1994
- --------------------------------------------------------------------------------
(in thousands, except per share data)
<S> <C> <C>
Net sales $16,208 $14,404
Cost of goods sold 7,371 7,388
-------------- -------------
Gross margin 8,837 7,016
Operating expenses:
Research and development 2,334 2,202
Selling, general and administrative 5,104 5,143
-------------- -------------
Total operating expenses 7,438 7,345
-------------- -------------
Operating income (loss) 1,399 (329)
Non-operating (income) expense:
Interest income (99) (7)
Interest expense 62 66
Foreign currency exchange 2 (1)
-------------- -------------
Total non-operating (income) expense (35) 58
-------------- -------------
Income (loss) before taxes 1,434 (387)
Income tax expense 293 12
-------------- -------------
Net income (loss) $ 1,141 ($399)
-------------- -------------
-------------- -------------
Earnings per share:
Net income (loss) $ 0.15 ($0.05)
-------------- -------------
-------------- -------------
Weighted average shares outstanding 7,763 7,300
-------------- -------------
-------------- -------------
</TABLE>
See notes to consolidated financial statements.
<PAGE>
DATA I/O CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
<TABLE>
<CAPTION>
- --------------------------------------------------------------------------------
Mar. 30, Mar. 31,
1995 1994
- --------------------------------------------------------------------------------
(In thousands)
<S> <C> <C>
OPERATING ACTIVITIES:
Net income (loss) $1,141 ($399)
Adjustments to reconcile income (loss)
to net cash provided by operating activities:
Depreciation and amortization 1,058 1,186
Deferred income taxes and taxes receivable 365 3
Deferred revenue 293 440
Changes in current items other
than cash and cash equivalents:
Trade accounts receivable (1,792) (160)
Inventories (615) 1,195
Other current assets 56 (53)
Accounts payable and accrued liabilities 773 177
Business restructure (51) (984)
-------------- -------------
Cash provided by operating activities 1,228 1,405
INVESTING ACTIVITIES:
Additions to property, plant and equipment (673) (117)
Additions to/(dispositions of) other assets (222) 2
-------------- -------------
Cash used for investing activities (895) (115)
FINANCING ACTIVITIES:
Additions to/(repayment of) notes payable 758 (1,060)
Sale of common stock 166 166
Proceeds from exercise of stock options 24 18
-------------- -------------
Cash provided by/(used for) financing activities 948 (876)
-------------- -------------
Increase in cash and cash equivalents 1,281 414
Effects of exchange rate changes on cash (13) (4)
Cash and cash equivalents - Beginning of quarter 7,279 1,704
-------------- -------------
Cash and cash equivalents - End of quarter $8,547 $2,114
-------------- -------------
-------------- -------------
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION:
Cash paid during the year for:
Interest $51 $35
Income taxes $11 $43
</TABLE>
See notes to consolidated financial statements.
<PAGE>
DATA I/O CORPORATION
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
NOTE 1 - FINANCIAL STATEMENT PREPARATION
The financial statements as of March 30, 1995 and March 31, 1994, have been
prepared by the Company pursuant to the rules and regulations of the Securities
and Exchange Commission (SEC). These statements are unaudited but, in the
opinion of management, include all adjustments (consisting of normal recurring
adjustments and accruals) necessary to present fairly the results for the
periods presented. The balance sheet at December 29, 1994 has been derived from
the audited financial statements at that date. Certain information and footnote
disclosures normally included in financial statements prepared in accordance
with generally accepted accounting principles have been condensed or omitted
pursuant to such SEC rules and regulations. Operating results for the quarter
ended March 30, 1995 are not necessarily indicative of the results that may be
expected for the year ending December 28, 1995. These financial statements
should be read in conjunction with the annual audited financial statements and
the accompanying notes included in the Company's Form 10-K for the year ended
December 29, 1994.
NOTE 2 - CLASSIFICATIONS
Certain prior years' balances have been reclassified to conform to the
presentation used in the current year.
NOTE 3 - INVENTORIES
Inventories consisted of the following components (in thousands):
<TABLE>
<CAPTION>
Mar. 30, Dec. 29,
1995 1994
-------------- --------------
<S> <C> <C>
Raw material $3,244 $3,327
Work-in-process 2,493 1,955
Finished goods 1,815 1,655
-------------- --------------
$7,552 $6,937
-------------- --------------
-------------- --------------
</TABLE>
NOTE 4 - PROPERTY, PLANT AND EQUIPMENT
Property, plant and equipment consisted of the following components (in
thousands):
<TABLE>
<CAPTION>
Mar. 30, Dec. 29,
1995 1994
-------------- --------------
<S> <C> <C>
Land $ 910 $ 910
Building and improvements 7,492 7,334
Equipment 21,795 21,507
-------------- --------------
30,197 29,751
Less accumulated depreciation 19,526 19,014
-------------- --------------
$10,671 $10,737
-------------- --------------
-------------- --------------
</TABLE>
<PAGE>
NOTE 5 - ACCOUNTING FOR INCOME TAXES
Statement of Financial Accounting Standards ("SFAS") 109 requires the
establishment of deferred tax assets and liabilities for expected future tax
consequences of events that have been recognized in the financial statements or
tax returns. Under this method, deferred tax assets and liabilities are
determined based on the difference between the financial statement carrying
amounts and the tax basis of assets and liabilities using currently enacted tax
rates which are expected to be in effect during the years in which the
differences are anticipated to reverse.
The Company was able to reverse deferred tax asset valuation allowances for the
quarter ended March 30, 1995, due to the Company's profit generated in the
current period and utilization of alternative minimum tax credit carryforwards.
The valuation allowance for deferred tax assets decreased by approximately
$100,000 during the quarter to $3.2 million as of March 30, 1995.
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
GENERAL
RESTRUCTURE PROGRESS
During the fourth quarter of 1993, the Company recorded a pretax charge of $6.1
million related to the restructure of its sales and distribution channels,
downsizing its operations to a level consistent with anticipated lower sales and
product margins, and to consolidate and outsource certain manufacturing
processes. The purpose of the restructure was primarily to reduce expenses and
significantly lower the Company's break-even point in reaction to the reduced
sales and gross margins the Company was experiencing in 1993. Additionally, the
Company made several strategic changes to its sales and distribution channels to
better align distribution of the Company's current and anticipated future
products to their markets and customers. The general downsizing of operations
and restructure of the sales and distribution system were substantially
completed during the fourth quarter of 1993 and first quarter of 1994. The
Company began implementation of the planned changes to its manufacturing
processes in the first quarter of 1994 for completion by the end of 1996.
Of the total $6.1 million restructuring charge, approximately $1.9 million
remained as an accrued liability at December 29, 1994. At March 30, 1995, the
remaining accrued liability was approximately $1.8 million. The reduction
during the quarter related primarily to implementation of changes in
manufacturing processes, facility consolidation and office space lease payments.
As of March 30, 1995, the Company's restructuring has proceeded as planned. No
significant changes were made to the Company's restructuring plans during the
first quarter of 1995.
RESULTS OF OPERATIONS
NET SALES
<TABLE>
<CAPTION>
First Quarter First Quarter
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Net sales $16,208 12.5% $14,404
- -------------------------------------------------------------------------------
</TABLE>
The increase in net sales in the first quarter of 1995 compared to 1994 is
primarily due to the continued increase in sales of the Company's automated
handling systems.
Net sales in the Company's core programmer business increased by approximately
3% compared to the first quarter of 1994. This increase is due primarily to
sales growth in the Company's parallel programmer products used in the
manufacturing environment and sales growth of the ChipLab product, the Company's
lowest priced IC programmer for the engineering market. These increases were
offset by continued net sales declines in the Company's traditional line of
universal programmers for the engineering market. The Company believes the
increase in sales of the Company's parallel programmer products reflects the
expanded use of programmable integrated circuits in the mid- to high-volume
manufacturing market which is also driving the increased sales of the Company's
automated handling systems. The Company believes the increase in sales of its
ChipLab product is indicative of the continuing market shift toward lower-
priced, project-specific programmers, and away from higher-priced, full-featured
universal programmers. In addition, the Company believes that there has been a
shift in the demand for tools by engineering design teams in favor of increased
software design tools. Finally, the Company believes that advances in
semiconductor processing technology have lowered the barriers to entry in the
programmer business over the last several years. This has caused new market
entrants to appear regularly, each trying to carve out a niche. New entrants
cause downward price pressure and each cycle of new competitors lowers the
acceptable price of a conventional IC programmer in the customer's view. These
industry changes had, and are continuing to have, an adverse effect on the
Company's programmer sales and gross margins, especially since the Company's
products historically have been oriented toward hardware tools and, within
hardware tools, toward higher-priced universal IC programmers. However, the
Company believes these trends are creating and will continue to generate
increased sales for its newer products including ChipLab, Synario, PSX and
ProMaster.
<PAGE>
Sales of the Company's ProMaster line of automated handling systems for the
manufacturing environment increased by approximately 45% compared with the first
quarter of 1994. For the first quarter of 1995 automated handling systems
accounted for approximately 26% of total revenues, compared with 20% in the
first quarter of 1994. A market shift in the ProMaster product mix toward
higher priced models also contributed to the sales increase. The Company's new
products, ProMaster 9500 and ProMaster 7500 provided approximately 84% of this
growth in sales. The Company believes that in the electronic manufacturing
market, the proliferation of hard-to-handle surface mount packages in a variety
of types is causing a worldwide trend toward automation and integration of
manufacturing processes. The Company believes its line of automated handling
systems is well positioned to capitalize on these trends.
Software product sales increased by approximately 14% compared with the first
quarter of 1994. The Company's Synario software product sales increased by 140%
to $968,000 in the current quarter compared to the first quarter of 1994 and
increased 18% compared to the fourth quarter of 1994. Revenues continued to
decline for the Company's older design software products.
Sales to all U.S. customers increased $1.9 million in the first quarter of 1995
compared to 1994, which the Company believes is attributed to the above-
described market trends. Sales to all international customers declined
approximately $100,000 in the first quarter of 1995 compared to 1994, due
primarily to a decline in sales at the Company's German subsidiary.
International sales were favorably impacted by foreign currency exchange rate
changes of approximately $421,000. International sales were 44% of total net
sales for the first quarter of 1995 compared to 50% of total net sales in the
first quarter of 1994.
GROSS MARGIN
<TABLE>
<CAPTION>
First Quarter First Quarter
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Gross margin $8,837 26.0% $7,016
Percentage of net sales 54.5% 48.7%
- -------------------------------------------------------------------------------
</TABLE>
The increase in gross margin compared to the first quarter of 1994 is largely
due to the increase in sales volume. In particular, the Company is achieving
improved margins on automated handling system products due to higher volume and
a market shift toward higher priced models. In addition, gross margin as a
percent of net sales increased largely due to the better utilization of fixed
manufacturing overhead. This occurred as a result of increased inventory
production related to the higher sales volume, as well as, reduced costs in our
manufacturing, service and distribution operations as a result of the Company's
restructuring.
RESEARCH AND DEVELOPMENT
<TABLE>
<CAPTION>
First Quarter First Quarter
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Research and development $2,334 6.0% $2,202
Percentage of net sales 14.4% 15.3%
- -------------------------------------------------------------------------------
</TABLE>
The increase in research and development spending compared to the first quarter
of 1994 is primarily due to additional research and development projects and
increased compensation costs. Research and development spending as a percentage
of sales decreased largely due to the increase in sales. The Company expects to
continue its significant investment in research and development.
The Company believes it is essential to invest in research and development to
support its existing products and to create new products as markets develop and
technologies change. The Company is focusing its research and development
efforts in its strategic growth markets, namely Windows-based EDA software
design tools, low-priced application-specific programmers and automated handling
systems for the manufacturing environment.
<PAGE>
SELLING, GENERAL AND ADMINISTRATIVE
<TABLE>
<CAPTION>
First Quarter First Quarter
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Selling, general and
administrative $5,104 (0.8%) $5,143
Percentage of net sales 31.5% 35.7%
- -------------------------------------------------------------------------------
</TABLE>
The decrease in selling, general and administrative expenditures during the
first quarter of 1995 relative to 1994 is due primarily to the restructure
efforts which decreased headcount world-wide by approximately 28% and focused on
matching cost effective sales channels to the Company's products and markets.
Part of the expense reduction was offset by increased expenses in the Company's
foreign offices due to currency rate changes and increased incentive
compensation.
INTEREST
<TABLE>
<CAPTION>
First Quarter First Quarter
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Interest income $99 1,314.3% $ 7
Interest expense $62 (6.1%) $66
- -------------------------------------------------------------------------------
</TABLE>
Interest income increased during the first quarter of 1995 compared with 1994,
primarily due to an increase in the average level of funds available for
investment for the quarter.
INCOME TAXES
<TABLE>
<CAPTION>
First Quarter First Quarter
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Income taxes $293 2341.7% $12
Effective tax rate 20.4% N/A N/A
- -------------------------------------------------------------------------------
</TABLE>
The Company's effective tax rate for the first quarter of 1995 differed from the
statutory 34% tax rate primarily due to the reversal of tax valuation reserves.
The valuation reserves reversed primarily due to the Company utilizing
alternative minimum tax credit carryforwards. The Company has valuation
reserves of $3.2 million that may continue to reverse as the Company records
income. The Company believes these potential reversing valuation reserves may
continue to substantially reduce its effective tax rate from the statutory rate
during 1995.
NET INCOME AND EARNINGS PER SHARE
<TABLE>
<CAPTION>
(In thousands, except First Quarter First Quarter
per share data 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Net income $1,141 N/A ($399)
Percentage of net sales 7.0% N/A (2.8%)
Earnings per share $0.15 N/A ($0.05)
- -------------------------------------------------------------------------------
</TABLE>
The increase in net income and earnings per share compared with the first
quarter of 1994 is primarily due to increased net sales and a higher gross
margin percentage. In addition, reduced costs and operating expenses resulting
from the Company's restructure of its operations contributed to the increase.
<PAGE>
INFLATION AND CHANGES IN FOREIGN CURRENCY EXCHANGE RATES
Historically, the Company has been able to offset the impact of inflation
through efficiency increases and price adjustments. Increasing price
competition, especially in IC programmers, is currently diminishing and may
continue to diminish the Company's ability to offset the impacts of inflation in
the future.
Sales and expenses incurred by foreign subsidiaries are denominated in the
subsidiary's local currency and translated into U.S. dollar amounts at average
rates of exchange during the year. Exchange rates impact absolute U.S. dollar
amounts but do not have a significant impact on the percentage of net sales
ratios. Because only approximately one-third of the Company's sales are made by
foreign subsidiaries and independent currency fluctuations tend to minimize the
effect of any individual currency exchange, fluctuations to date in foreign
currency rates have not significantly impacted the Company's overall financial
results.
FINANCIAL CONDITION
LIQUIDITY AND CAPITAL RESOURCES
<TABLE>
<CAPTION>
Mar. 30, Dec. 29,
(In thousands) 1995 Change 1994
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Working capital $11,483 $1,445 $10,038
Total debt $ 2,713 $ 773 $ 1,940
- -------------------------------------------------------------------------------
</TABLE>
Working capital increased during the first quarter of 1995 primarily due to the
funds provided by operations, which is net of $51,000 of restructure related
expenditures.
During the first quarter of 1995 the Company increased its cash by approximately
$1.3 million. Trade accounts receivable increased by approximately $1.7
million, primarily due to increased sales volume in the first quarter. The
Company also increased its inventory level by $615,000 during the quarter,
primarily to support the growth in automated handling systems volume. Funding
for these increases was provided by increased bank borrowings of $773,000, a
build in accounts payable of $930,000 and funds from operations during the
quarter.
As of March 30, 1995, the Company had total debt of $2.7 million or
approximately 11% of its $25.6 million in equity. Of this debt, $1.5 million is
a note payable due in 1998 for the balance of the purchase price of the CAD/CAM
Group. The remaining $1.2 million is current debt, consisting entirely of
borrowings on the Company's $1.7 million foreign line of credit.
No amounts were borrowed on the Company's $8.0 million U.S. line of credit.
The U.S. and foreign lines of credit mature in 1995. Historically, these credit
lines have been structured as short-term and have been continuously renewed on
their maturity dates. The Company currently expects to be able to renew these
lines of credit on maturity under substantially the same terms as those
presently in place.
The Company estimates that capital expenditures for property, plant and
equipment during the remainder of 1995 will be approximately $1.5 million. Such
expenditures are currently expected to be funded from internally generated funds
and, if necessary, borrowings from the Company's existing credit lines.
Although the Company fully expects that such expenditures will be made, it has
purchase commitments for only a small portion of these amounts.
At March 30, 1995, the Company's material short-term unused sources of liquidity
consisted of approximately $8.5 million in cash and cash equivalents, available
borrowings of $8.0 million under its U.S. line of credit and available
borrowings of approximately $500,000 under its foreign line of credit. The
Company believes that cash, cash flow from operations and borrowings available
under its U.S. and foreign lines of credit will be sufficient to fund working
capital needs, service existing debt, finance planned capital acquisitions and
fund its remaining restructure accrued liabilities. In addition, if the Company
is successful in selling its land held for sale, additional capital will be
available.
<PAGE>
PART II - OTHER INFORMATION
ITEM 1. LEGAL PROCEEDINGS
None
ITEM 2. CHANGES IN SECURITIES
None
ITEM 3. DEFAULTS UPON SENIOR SECURITIES
None
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
None
ITEM 5. OTHER INFORMATION
None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K PAGE
(a) Exhibits
11. Statement Regarding Computation of Earnings
Per Share 14
(b) Reports on Form 8-K
None
<PAGE>
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) 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.
DATA I/O CORPORATION
(REGISTRANT)
DATED: May 8, 1995
By://S//Steven M. Gordon
---------------------
Steven M. Gordon
Vice President
Finance and Administration
Chief Financial Officer
Chief Accounting Officer
Secretary and Treasurer
<PAGE>
EXHIBIT 11
DATA I/O CORPORATION
COMPUTATION OF EARNINGS PER SHARE
Earnings per share reported in Form 10-Q for the quarters ended March 30, 1995,
and March 31, 1994 are based on the following (In thousands):
PRIMARY AND FULLY DILUTED: 1995 1994
- ------------------------------------------ ------------ ------------
Weighted Average Shares Outstanding 7,473 7,300
Dilutive Effect of Stock Options 290 0
------------ ------------
Weighted Average Common and Equivalent
Shares Outstanding 7,763 7,300
------------ ------------
------------ ------------
<TABLE> <S> <C>
<PAGE>
<ARTICLE> 5
<MULTIPLIER> 1,000
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-28-1995
<PERIOD-START> DEC-30-1994
<PERIOD-END> MAR-30-1995
<CASH> 8547
<SECURITIES> 0
<RECEIVABLES> 12162
<ALLOWANCES> 278
<INVENTORY> 7552
<CURRENT-ASSETS> 30097
<PP&E> 30197
<DEPRECIATION> 19526
<TOTAL-ASSETS> 46595
<CURRENT-LIABILITIES> 18614
<BONDS> 0
<COMMON> 20919
0
0
<OTHER-SE> 4689
<TOTAL-LIABILITY-AND-EQUITY> 46595
<SALES> 16208
<TOTAL-REVENUES> 16208
<CGS> 7371
<TOTAL-COSTS> 7426
<OTHER-EXPENSES> (97)
<LOSS-PROVISION> 12
<INTEREST-EXPENSE> 62
<INCOME-PRETAX> 1434
<INCOME-TAX> 293
<INCOME-CONTINUING> 1141
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 1141
<EPS-PRIMARY> 0.15
<EPS-DILUTED> 0.15
</TABLE>
