AstroNova Reports Fiscal Fourth-Quarter and Full-Year 2021 Financial Results
AstroNova, Inc. (NASDAQ: ALOT) reported its fiscal fourth quarter and full-year results for 2021. The Product Identification segment achieved a robust growth of 13.2%, recording a segment operating profit margin of 14.3%. However, the Test & Measurement segment faced challenges due to the COVID-19 pandemic and the Boeing 737 MAX grounding, with revenues declining to $6.1 million. Despite a $17.4 million decrease in aerospace-related revenue, AstroNova maintained its operating profit consistent with the previous year and expanded its international market presence. A new credit agreement was established, improving liquidity and growth opportunities.
- Product Identification segment revenue grew to $23.4 million, a 13.2% increase.
- Record segment operating profit margin of 14.3% for Product Identification.
- International revenue increased to 44% of total revenue, up from 37% year-over-year.
- New credit agreement enhances liquidity with a $10 million term loan and $22.5 million revolving credit facility.
- Test & Measurement segment revenue fell to $6.1 million, down from $9.8 million due to the aerospace industry's decline.
- Operating profit for Test & Measurement decreased to $0.3 million, down from $0.7 million a year ago.
AstroNova, Inc. (NASDAQ: ALOT), a global leader in data visualization technologies, today announced financial results for the fiscal fourth quarter and full year ended January 31, 2021.
“Our Product Identification segment performed extremely well in fiscal 2021, which marked the segment’s eighth consecutive year of revenue growth,” said Greg Woods, AstroNova’s President and Chief Executive Officer. “In the fourth quarter Product Identification achieved 13.2 percent top-line growth compared to the same quarter last year and posted a record segment operating profit margin for the full year of 14.3 percent. Also in the quarter, we posted the highest number of color printer shipments in more than two years, boosted by a growing response to our enhanced digital marketing initiatives and a strong uptake of new products such as our T3-OPX overprinting solution. Consistent with our recurring revenue model, hardware demand is a leading indicator of demand for our supplies and services.
“In our Test & Measurement segment, our fourth-quarter results continued to be hampered by the effects of the COVID-19 pandemic and the 737 MAX grounding on the aerospace industry,” Woods said. “But with the MAX’s recent return to service and positive news on the vaccine front, we are hopeful that the sequential revenue improvement we saw in our Test & Measurement segment in the fourth quarter marks the early signs of a recovery for the aerospace industry.
“From a geographic standpoint, international revenue grew to 44 percent of total revenue in the fourth quarter from 37 percent in the same period a year earlier,” Woods said. “We saw particular strength in EMEA, where we recently enhanced our marketing team. In addition, we are expanding our presence in China with the opening of a second location, in the southern port city of Guangzhou, complementing our location in Shanghai’s Pilot Free Trade Zone.
“We navigated a challenging fiscal 2021 by focusing on the things within our control. Our first priority was protecting our team by deploying comprehensive global COVID-19 safety measures. Additionally, we moved quickly to realign our workforce, reduce costs and increase liquidity to ensure that we continued to make progress on our long-term strategic growth initiatives, including our innovation investments. As a result, we had no serious COVID-19-related illnesses among our global team; all our facilities remained open and operational; and—despite a
AstroNova Signs New Credit Agreement
On March 24, 2021, the Company entered into an amendment to the credit agreement with its current lender that provides for a term loan of
“The terms of our new credit agreement, including material increases in available credit, extended tenor, improved covenant and pricing terms, and reduced amortization requirements, reflect the operating performance improvements we have achieved in response to the recent market headwinds,” said David Smith, AstroNova’s Chief Financial Officer. “The new agreement supports both our near-to-medium term liquidity requirements and growth objectives.”
Fiscal Q4 2021 Operating Segment Results
Product Identification segment revenue was
Test & Measurement segment revenue was
Hardware revenue was
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