RF Industries, Ltd. (NASDAQ: RFIL) said net sales for the third quarter of fiscal 2015 increased 61 percent, or USD3.4 million, to USD8.9 million compared to USD5.5 million in the same quarter last year.
Net income was USD211,000, or USD0.02 per diluted share, compared to USD372,000, or USD0.04 per diluted share, in the same quarter last year. The third quarter 2015 net sales increase was the result of additional net sales of USD2.8 million and USD1.2 million, respectively, from the company´s newly acquired Comnet Telecom Supply and Rel-Tech Electronics subsidiaries. Both the Comnet and Rel-Tech subsidiaries were acquired in fiscal 2015.
Third quarter gross profit increased USD347,000, to USD2.8 million, or 32 percent of net sales, compared to USD2.5 million, or 45 percent of net sales in the same quarter last fiscal year. Margins decreased in the 2015 quarter primarily due to the additional sales from the recently acquired Comnet and Rel-Tech subsidiaries, which have historically lower gross margins. Margins were also affected by lower sales and gross margins at the RF Connector and Cable Assembly segment.
RF Industries is a leading designer and manufacturer of innovative interconnect products and complex cable assemblies across diversified, high growth markets including wireless carriers and infrastructure, medical and industrial.