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Kewaunee Scientific Reports Sales and Earnings for First Quarter
Date:8/24/2010

STATESVILLE, N.C., Aug. 24 /PRNewswire-FirstCall/ -- Kewaunee Scientific Corporation (Nasdaq: KEQU) today reported sales and earnings for its first quarter ended July 31, 2010.

Sales for the quarter were $24,858,000, down 5% from sales of $26,249,000 in the first quarter of the prior year. This was primarily the result of on-going softness in the domestic marketplace for small and mid-sized laboratory projects and the scheduled timing of shipments in the order backlog, partially offset by increased international sales. Domestic sales were $20,948,000, down from sales of $23,358,000 in the first quarter last year, while international sales increased to $3,910,000, up from $2,891,000 in the first quarter last year.  

Net earnings for the quarter were $657,000, or $0.25 per diluted share, down from net earnings of $1,071,000, or $0.42 per diluted share, in the first quarter of the prior year. Earnings were unfavorably impacted by the lower sales and continued aggressive pricing in all of the Company's markets.

The order backlog at the end of the quarter remained strong, both domestic and international.  The backlog was $66.9 million at July 31, 2010, up from $60.7 million at July 31, 2009 and down slightly from the record level of $68.9 million at April 30, 2010.

"Overall, the domestic marketplace for laboratory furniture continues to be healthy, although opportunities vary depending on the size of the project and geographic area," said Mr. Shumaker, President and Chief Executive Officer.  "Capital spending for larger laboratory projects continues to hold up relatively well, while funding and spending for small and mid-sized projects continues to be the most affected by the economic slowdown.  Capital spending for international laboratory projects appears to be recovering, as we have seen a significant increase in international sales oppo
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SOURCE Kewaunee Scientific Corporation
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