2004 1st Quarter Report
To Our Stockholders:
We are pleased to announce record sales for the first quarter of 2004 of $3,383,000, a 20% increase over the first quarter of 2003. Earnings were $161,000, or $0.12 per share, compared to $0.02 per share for the comparable quarter of 2003. The company also generated $254,000 in cash flow from operations compared to $49, 000 in the first quarter of 2003.
Sales growth was experienced across all product groups and market areas. New products,increased market share, a strong Euro, and economic growth in Asia and North America all contributed to these results. This performance is in line with our plan for 2004.
During the quarter, we launched LaserTape, extending IKONICS’ imaging technology to the growing market of laser etching; and we introduced AccuArt 2, a premium addition to our successful AccuArt family of inkjetable substrates.
We are making excellent progress with our new RapidMask photoresist and,during the quarter,introduced a new generation of equipment complementing this technology and further securing our leadership position in the abrasive etching industry. We continue to make progress with our IKONMetal products and remain enthusiastic about the future of this new technology.
We have begun 2004 on a very strong note and,although some unseen challenges and opportunites certainly lie ahead,I am optimistic about our prospects for the year.
For the Board of Directors,
William C.Ulland Chairman,President & CEO