Kanata, Ontario--July 25, 1996--Mitel Corp. (Kanata, Ontario) announced net income of $10.7 million, or $0.09 per share, for the first quarter of fiscal 1997, compared with $9.6 million, or $0.08 cents per share, for the same period a year ago.
The statements of income for the first quarter of fiscal 1997 included the consolidation of the sales, expenses and earnings of Mitel Semiconductor AB of Sweden, which was acquired on March 29, 1996.
Sales were $158.1 million for the first quarter, representing an increase of 16 percent over sales of $136.2 million for the same quarter last year.
The company attributed the increased earnings to higher sales of semiconductor and optoelectronic products, and increased PBX margins partially offset by lower sales of business communications systems.
Gross margin improved to 52 percent in the quarter from 47 percent last year as a result of an increased proportion of higher margin products in the sales mix. Research and development expenses totalled $16.4 million, or 10 percent of sales, up from $10.4 million, or 8 percent of sales, reflecting higher spending in semiconductors and CTI and client server telecom products. Order backlog increased to $147 million at June 28, 1996 from $139 million at the end of fiscal 1996.
350 Leggett Dr.
P.O. Box 13089
Kanata, Ontario, Canada
Fax: (613) 592-4784
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