RF Industries Ltd., the San Diego maker and distributor of connectors and cable assemblies, reported first quarter net sales of $5.9 million, down 41 percent from the like quarter of 2013.
Net income for the quarter that ended Jan. 31 was $265,000, compared with $1.5 million in the like quarter of last year.
RFI said its Cables Unlimited subsidiary had a 61 percent decrease in revenue during the past quarter. That decline was the result of a decrease in demand for fiber optic cabling solution for cell towers, the company said.
CEO Howard Hill said the declining revenue and marginal profitability were in line with the guidance previously provided.
Thus far in the second quarter, sales for RFI Connector and Cable Assembly divisions were below the levels in the prior year’s second quarter, but the company remains optimistic about it long term prospects, Hill said.
“Our company has maintained its strong cash position and has no debt so the cash generated from operations allows us to return capital to our shareholders through dividends such as the one we recently announced, and/or stock repurchases, while also allowing us to consider strategic transactions,” he said.