ARLINGTON, Texas, Sept. 15, 1998 (PRIMEZONE) -- FWT, Inc., a leading designer, manufacturer and marketer of wireless communication infrastructure products, today reported that its 1999 fiscal year-to-date backlog has increased 47 percent to $25 million from $17 million at fiscal year-end 1998, as a result of orders for communications towers. In addition, the Company has developed a new fiber-optic application for its existing shelter site product line, which will be used by telecom carriers in the development of fiber optic networks.
On a sequential basis, the company reported net sales of $18 million during the first fiscal quarter compared with sales of $17.5 million in the fourth fiscal quarter of 1998 ended April 30, 1998.
Douglas A. Standley, president and chief executive officer of the Company, said, "Although times are still challenging in the wireless telecom market, we are encouraged by the recent increase in order activity at FWT and the new fiber-optic applications of our existing shelter product line and construction services capability. The multi-billion dollar fiber-optic market opens up new opportunities for FWT to deploy its technological, manufacturing and turnkey service. Our new business and growing backlog of orders is evidence that FWT's leadership in quality and service is being favorably received by the industry. Clients are starting to recognize us as a true 'total solutions provider.'
We have built the foundation of extremely efficient manufacturing processes as demonstrated by our significant reduction in order lead time, job status reporting and production standardization and enhancements. Most importantly, we recently received the coveted ISO 9001 certification -- recognized internationally as the mark of quality," Mr. Standley continued.
The Company reported a net loss of $634,000 on sales of $18 million for the first fiscal quarter of 1999 ended July 31, 1998. This compares with net earnings of $3.67 million on sales of $21.2 million for same quarter ended July 31, 1997. The decrease in sales is primarily attributable to a decline in structure sales including telecommunications shelters and Cell-Sites-On Wheels (COWS), which accounted for approximately $2.9 million of the total sales decrease. The Company believes the decrease in sales of these products is the result of the overall softness in the market and the focus by the primary wireless communications service providers on co-location sites, which already have these types of products in place.
"As the telecom market embraces new technology such as fiber optics, FWT will solidify its position as the recognized leader in manufacturing the infrastructure products and providing professional services to meet the industry's changing needs, " said Mr. Standley.
Founded in 1959, FWT, Inc. is based in Arlington, Texas. The Company's products are used in the cellular PCS, enhanced specialized mobile radio, paging radio and television broadcasting, fiber optics and microwave industries. FWT designs, manufacturers, and markets a complete line of communications infrastructure products including towers, monopoles, guyed and self-supported towers, disguised sites, communication sites on wheels, shelters and cabinets. FWT has introduced the innovative PowerMount (TM), an antenna system that fits on existing electrical transmission towers. FWT's TREE-CELL(TM) is a monopole that looks like a tree and is currently available in palm and pine. The Company has more that 14,000 installations worldwide and employs 350 in two Fort Worth locations.
Forward-looking statements herein are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can generally be identified as such because the context of the statement will include words such as the Company "believes," "expects," "anticipates," or words of similar import. Similarly, statements that describe the Company's future plans, objectives, estimates or goals are forward-looking statements. Certain important factors could cause results to differ from those anticipated by the forward-looking statements made herein, including high level of and restrictions imposed by debt, ability to implement such initiatives, dependence on the wireless communications industry, fluctuations in quarterly results and competition. All persons are directed to the information contained under the heading "Risk Factors" in the Company's Form 10-K.