STATESVILLE, N.C., Aug. 24, 2011 /PRNewswire/ — Kewaunee
Scientific Corporation (Nasdaq:
KEQU) today reported sales and earnings for its first quarter
ended July 31, 2011.
Sales for the quarter were $26,321,000, up 5.9% from sales of
$24,858,000 in the first quarter last year. Net earnings for the
quarter were $22,000, or $0.01 per diluted share, down from net
earnings of $657,000, or $0.25 per diluted share, in the first
quarter of the prior year. Earnings for the quarter were
unfavorably impacted by lower selling prices and higher costs paid
for raw materials, particularly steel and epoxy resin.
Additionally, costs associated with the startup of manufacturing
for the Company’s new laminate furniture product line reduced
after-tax earnings by approximately $188,000, or $0.07 per diluted
Domestic sales for the quarter were $23,396,000, up from sales
of $20,948,000 in the first quarter last year. The domestic
marketplace for laboratory projects was generally unchanged from
recent quarters, as demand for larger projects continued to hold up
relatively well, while demand for small and mid-sized laboratory
projects remained well below pre-recession levels. International
sales for the quarter were $2,925,000, down from $3,910,000 in the
first quarter last year. Although not reflected in the sales
figure, the recovery in the international laboratory marketplace
appears to be well underway, as the Company is seeing and bidding
increasing numbers of opportunities in Asia and the Middle East.
The Company’s expanded and strengthened international sales
representation is helping the Company take early advantage of the
The order backlog grew to a record $69.7 million at July 31,
2011, up from $65.7 million at April 30, 2011 and $66.9 million at
July 31, 2010.
“Dramatic increases in raw material prices, particularly steel
and epoxy resin, whi