Park Electrochemical Corp. (NYSE:PKE) Q4 2018 Earnings Conference Call - Preliminary Transcript

May 07, 2018 • 11:00 am ET

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Park Electrochemical Corp. (NYSE:PKE) Q4 2018 Earnings Conference Call - Preliminary Transcript

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Presentation
Operator
Operator

Good morning. My name is Christy, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Park Electrochemical Corp. Fourth Quarter Full Year 2018 Earnings Release Conference Call. (Operator Instructions) At this time, I will turn today's call over to Mr. Brian Shore, Chairman and Chief Executive Officer. Mr. Shore, you may begin your conference.

Executive
Brian Shore

Thank you very much operator. First of all I want to apologize for the late start. We had some last minute logistics problem so we were scrambling for last half hour, but we made it at least a little bit late, so sorry about that again. I have with me of course Matt Farabaugh, our CFO and I'll just start our fourth quarter conference call. So Matt, why don't you get started with the financial analysis. Matt's going to be reading from the transcript which was already posted on our website. There's some detailed information and Matt's commentary which is posted on our website so I recommend you check the website for the details. Go ahead, Matt.

Executive
Matt Farabaugh

Okay, thanks Brian. Certain statements we may make during the course of this discussion which do not relate to historical financial information may be deemed to constitute forward-looking statements. Any forward-looking statements are subject to various factors that could cause actual results to differ materially from our expectations. We have set forth in our most recent Annual Report on Form 10-K for the fiscal year ended February 26, 2017 various factors that could affect future results. Those factors are found in Item 1A and after Item 7 of that Form 10-K. Any forward-looking statements we may make are subject to those factors. I'd like to briefly review some of the items in our fiscal year 2018 fourth quarter ended February 25, 2018 P&L, which are not specifically addressed in the earnings release.

During the fiscal year 2018 fourth quarter, North American sales were 62% of total sales, European sales were 6% of total sales and Asian sales were 32% of total sales, compared to 55%, 7% and 38%, respectively, for the 2017 fiscal year fourth quarter and 63%, 9% and 28%, respectively, for the 2018 fiscal year third quarter. Sales of Park's high performance, non-FR-4 electronics materials were 94% of total electronics materials sales in each of the 2018 fiscal year fourth quarter and 2017 fiscal year fourth quarter and 93% of total electronics materials sales in the 2018 fiscal year third quarter. Park's aerospace sales were $9.9 million, or 36% of total sales, in the 2018 fiscal year fourth quarter compared to $8.2 million, or 30% of total sales, in the 2017 fiscal year fourth quarter and $10.2 million, or 39% of total sales, in the 2018 fiscal year third quarter.

Park's electronics sales were $17.9 million, or 64% of total sales, in the 2018 fiscal year fourth quarter compared to $19.4 million, or 70% of total sales, in the 2017 fiscal year fourth quarter and $15.9 million, or 61%