2002 1st Quarter Report
To Our Stockholders,
The first quarter of 2002 saw a rebound in sales and a return to profitability from the past three quarters. These results reflect an improvement in the domestic screen printing industry, increased sales to Asia and continued growth of our abrasive etching products. Compared to the first quarter of 2001 sales were down 3% to $2,782,372. Profits fell from $88,402 or $0.07 per share in the first quarter of 2001 to $23,407 or $0.02 per share for the same period of 2002.
I anticipate that the positive trends will continue through out the year. In addition to a recovery in the economy, we are seeing strength in our domestic sales of inkjet media and have recently become a dealer for Mimaki large format inkjet printers, which will allow us to sell inkjet printing systems. India and China continue to be growing markets for screen printing and are accounting for an increasing percentage of our screen print product sales. Our abrasive etching products showed exceptional growth and improving margins in the period and I expect both of these trends to continue.
Our quest to expand our sales into new markets and products continues. An example of this is our AccuArt inkjet media, a new product that we introduced through our strong distribution network. We are currently developing other inkjet products that will feed into our existing sales structure; and we are working on unique products based on our technologies that are targeted at entirely new customers.
With our combination of efficient manufacturing, professional sales and marketing, and robust product development we are evolving with, and in many cases leading our current markets. We have excellent opportunities to be an important factor in new markets.
For the Board of Directors,
William C. Ulland Chairman, President & CEO