SOURCE: Northstar Electronics

Northstar Electronics

August 20, 2009 13:20 ET

Northstar Electronics, Inc. (NEIK) Announces Its 2009 Second Quarter Results

VANCOUVER, BC--(Marketwire - August 20, 2009) - Northstar Electronics, Inc. (OTCBB: NEIK), specializing in advanced sonar and contract manufacturing for Defense and Homeland Security and manufacturing of aircraft parts for the aerospace industry, announces its 2009 second quarter results.

For the quarter ended June 30, 2009, the Company reported total revenues of USD$879,565 compared with USD$533,332 in 2008. This represents a 64.9% increase over the previous year. The Company incurred a net loss of USD$300,905 compared with a net loss of USD$321,114 for the same period in 2008, representing a decrease of 6.3%. The net loss remained the same at $0.01 per share.

During the quarter, the Company intensified work on the P3 aircraft outer Wing Box refurbishment contract for Lockheed Martin Aeronautics and commenced work on the new US$2.5M L3 MAPPS Communications contract for mechanical control consoles for the Canadian Patrol Frigate upgrade program. Expansions to the P3 and a specialized sonar project for Lockheed Martin are anticipated following important reviews in the next operating quarter.

In the quarter, comparative expenses were reduced; however material purchases in preparation for the L3 contract dampened the loss reduction for the period. Further improvement in performance is anticipated in the following quarter. Salary expenses were reduced significantly (23.5% reduction) as inspection work finished for First Article Inspections on the P3 project early in the quarter. Further revenue growth is expected with the higher volume of production planned in the near future.

Dr. Wilson Russell, Northstar's CEO, added, "Our results in this quarter showed good growth year over year. Our objective now is to effect even stronger growth going forward through increased production on existing contracts and additional production for new work we anticipate."

For further information contact, Northstar Electronics, Inc., www.northstarelectronics.com, Tel:604-685-0364 and/or Rich Kaiser-Investor Relations, yes@yesinternational.com, Tel:800-631-8127 and/or Ms. Beverly Jedynak-Martin Janis & Co, Inc., b.jedynak-janispr@att.net, Tel:(312) 943-1000 Ext. 12.

Safe Harbor:

Included in this release are forward-looking statements within the meaning of Section 27A of the Securities Act of 1993, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and is subject to the safe harbor created by those sections. The Company's actual results could differ materially from those anticipated in the forward-looking statements as a result of certain internal and external factors.

Contact Information

  • Contact:
    YES INTERNATIONAL
    800-631-8127