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Technology Research Corporation Reports Second Quarter Results

CLEARWATER, Fla., Nov. 8, 2010 (GLOBE NEWSWIRE) -- Technology Research Corporation ("TRC"), (Nasdaq:TRCI), today announced revenue and earnings for its second fiscal quarter ended September 30, 2010.
/ Source: GlobeNewswire

CLEARWATER, Fla., Nov. 8, 2010 (GLOBE NEWSWIRE) -- Technology Research Corporation ("TRC"), (Nasdaq:TRCI), today announced revenue and earnings for its second fiscal quarter ended September 30, 2010.

Revenue was $9.2 million for the fiscal quarter ended September 30, 2010, a decrease of $0.4 million from revenue of $9.6 million for the fiscal quarter ended September 30, 2009. Net income for the quarter ended September 30, 2010 was $0.3 million, or $0.05 per diluted share compared with net income of $1.2 million, or $0.20 per diluted share for the same period one year earlier. Operating cash flow, which we define as earnings before interest, taxes, depreciation and amortization, was $1.1 million for the current quarter, as compared to $1.9 million in the second fiscal quarter of last year.

Orders for the quarter just ended were $7.0 million, an increase of $1.9 million from the same fiscal quarter last year. Military orders were $2.7 million, an increase of $1.5 million from the second quarter of the previous year and commercial orders were $4.3 million, an increase of $0.4 million from the first quarter of the prior year.

Owen Farren, President and CEO, said: "While our commercial sales have rebounded nicely from last year's levels, our results were impacted this quarter on the military side by delays in some orders and programs. This impacted Patco as well as TRC's traditional military business. Furthermore, we faced a tough comparison to last year's second quarter, which was exceptional as a result of heavy deliveries to our largest military customer. While we expect to continue to be impacted in our third quarter by similar delays, we remain positive about our Company's direction.

"TRC continues to make very good progress on our strategic goal of providing new and advanced power management and control products and intelligent battery systems to our customers. We will do this through a combination of targeted acquisitions and internal product development."

Cash and cash equivalents were $9.3 million at September 30, 2010, an increase of $1.1 million from March 31, 2010. The Company continues to have no borrowings outstanding under its line of credit.

The second quarter dividend of $0.02 per share was paid on October 15, 2010 to shareholders of record as of September 30, 2010.

TRC is a recognized leader in providing cost effective engineered solutions for applications involving power management and control, intelligent battery systems technology and electrical safety products based on our proven ground fault sensing and Fire Shield® technology. These products are designed, manufactured and distributed to the consumer, commercial and industrial markets worldwide. The Company also supplies power monitors and control equipment to the United States Military and its prime contractors. More information is available at .

The Technology Research Corporation logo is available at

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: Some of the statements in this report constitute forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. These statements are related to future events, other future financial performance or business strategies, and may be identified by terminology such as "may," "will," "should," "expects," "scheduled," "plans," "intends," "anticipates," "believes," "estimates," "potential," or "continue," or the negative of such terms, or other comparable terminology. These statements are only predictions. Actual events as well as results may differ materially. In evaluating these statements, you should specifically consider the factors described throughout this report. We cannot be assured that future results, levels of activity, performance or goals will be achieved.

Non-GAAP Financial Measures

This report sometimes refers to financial measures that are not presented according to generally accepted accounting principles (GAAP). Certain of these measures are considered "non-GAAP financial measures" under the Securities and Exchange Commission (SEC) regulations; those rules require the supplemental explanations and reconciliations that are in our Form 8-K (Quarterly Earnings Release) filed with the SEC.

CONTACT: Technology Research Corporation Robert D. Woltil, Chief Financial Officer (727) 535-0572 Fax: (727) 535-9691 www.trci.net