Daktronics, a leading producer of electronic scoreboards and displays, announced positive results for its fiscal second quarter. The South Dakota-based company reported a profit of $2.2 million, or 5 cents a share, for the three-month period ending on Oct. 28. This marks a significant improvement compared to the same period last year when Daktronics incurred a loss of $13 million, or 29 cents a share.
Strong Sales Growth
Daktronics also experienced a 6.4% increase in sales, reaching a total of $199.4 million. Notably, the company’s gross profit as a percentage of net sales rose to 27.2% from 16.9% in the previous year. Daktronics attributed this positive development to price increases and an uptick in volume.
Balanced Performance Across Markets
Despite flat order numbers compared to the previous year, Daktronics witnessed strength in its international and transportation businesses, which offset declines in other areas. Specifically, the out-of-home and so-called spectacular markets of the company’s commercial business experienced slight declines.
Overcoming Supply Chain Challenges
CEO Reece Kurtenbach expressed satisfaction with the progress made in reducing the backlog of orders. This achievement is credited to resolving supply chain challenges and shortening lead times.
