Ceramic Industry

Ceradyne Reports 2002 Fourth Quarter Annual Results

March 4, 2003
Ceradyne, Inc. recently reported its results for the fourth quarter and 12 months ended December 31, 2002. Fourth quarter sales increased 45% to a record $17.6 million compared to $12.1 million in the prior year quarter. Net income for the quarter was $938,000, or $0.11 per diluted share, compared to $925,000, or $0.10 per diluted share, for the year-ago quarter. Net income for fourth-quarter 2001 was positively affected by a $226,000 income tax adjustment, or $0.03 per share. Pre-tax income increased 106% to $1,443,000 from the 2001 comparable quarter of $699,000. For the year ended December 31, 2002, sales increased 35% to a record $61.2 million compared to $45.3 million in 2001. Net income was $2.7 million, or $0.31 per diluted share, in the year 2002, compared to $4.0 million, or $0.46 per diluted share, in the prior year. Pre-tax income for 2002 was $4,132,000 compared to $4,837,000 in 2001. A warranty reserve established in the second quarter of 2002 negatively impacted the full year 2002 pre-tax income by $650,000.

For additional information, call Jerrold J. Pellizzon at (714) 549-0421, ext. 262, e-mail jpellizzon@ceradyne.com or visit http://www.ceradyne.com