PORTLAND, OR — (Marketwire) — 02/10/12 — (NASDAQ: FLIR) today announced financial results for the fourth quarter ended December 31, 2011. Revenue was $405.2 million, down 7% compared to fourth quarter 2010 revenue of $437.5 million. Operating income in the fourth quarter was $109.7 million, up 9% compared to $100.4 million in the fourth quarter of 2010. Fourth quarter 2011 earnings from continuing operations was $76.8 million, or $0.49 per diluted share, compared with earnings from continuing operations of $70.1 million, or $0.43 per diluted share in the fourth quarter a year ago. Cash provided by operations in the fourth quarter was $116.2 million. During the quarter, the Company repurchased 1.4 million shares of its common stock at an average price of $25.51 per share.
Revenue from the Company-s Commercial Systems division increased 3% from the fourth quarter of 2010, to $224.8 million. Within the Commercial Systems division, revenue from the Thermal Vision and Measurement segment was $189.5 million, an increase of 7% over the fourth quarter combined results of Thermography and Commercial Vision Systems last year. Commercial Systems- Raymarine segment contributed $35.3 million of revenue during the quarter, a decrease of 12% compared to the fourth quarter of 2010.
Revenue from the Company-s Government Systems division decreased 18% from the fourth quarter of 2010, to $180.4 million. Within the Government Systems division, revenue from the Surveillance segment was $146.4 million, a decrease of 19% from the fourth quarter of 2010 results of the Company-s legacy Government Systems business. Revenues from Government Systems- other two segments, Detection and Integrated Systems were $23.6 and $10.4 million, respectively.
For the full year, revenue was $1,544.1 million, up 11% compared to $1,388.4 million for the year ended December 31, 2010. Operating income for 2011 was $313.2 million, down 13% from $360.3 million in 2010. Net income from continuing operations for 2011 was $222.7 million, or $1.38 per diluted share, compared with 2010 net income from continuing operations of $248.4 million, or $1.54 per diluted share. Excluding the net after tax impact of litigation and severance costs, 2011 net income from continuing operations was $254.4 million, or $1.58 per diluted share. Cash provided by operations during the year was $243.9 million.
The Company-s backlog of firm orders for delivery within the next twelve months was approximately $456 million at December 31, 2011, a decrease of $90 million during the quarter. Backlog in the Government Systems division was $314 million, decreasing $60 million during the quarter. Backlog in the Commercial Systems division was $142 million, down $30 million during the quarter.
„The fourth quarter showcased our ability to adapt and persevere through a challenging macro environment. During the quarter, we expanded margins — gross, operating, and net income — to their highest levels in over a year and cash flow from operations reached its highest quarterly total ever,“ said Earl Lewis, President and CEO of FLIR. „Our focus on operational efficiency and innovation throughout 2011 enabled us to drive profitability and has positioned the company for success in the future.“
FLIR also announced today that it expects revenue in 2012 to be in the range of $1.55 billion to $1.65 billion, an increase of approximately 0% to 7% compared to 2011, and net income to be in the range of $1.60 to $1.70 per diluted share, an increase of approximately 16% to 23% compared to 2011.
FLIR-s Board of Directors has approved a quarterly cash dividend of $0.07 per share on FLIR common stock, an increase of 17% over the previous paid quarterly dividend of $0.06 per share. The Board of Directors has declared the dividend payable March 9, 2012, to shareholders of record as of close of business on February 21, 2012.
FLIR has scheduled a conference call at 11:00 a.m. ET (8:00 a.m. PT) today to discuss its results for the quarter and year. A simultaneous webcast of the conference call may be accessed online from a link in the Upcoming Events section of . A replay will be available after 2:00 p.m. ET (5:00 p.m. PT) at this same internet address. For a telephone replay, dial (855) 859-2056, Conference ID #45459716 after 2:00 p.m. ET. Summary fourth quarter and historical financial data, including segment details, may be accessed online from the Summary Financial Data section at .
FLIR Systems, Inc. is a world leader in the design, manufacture, and marketing of sensor systems that enhance perception and awareness. The Company-s advanced thermal imaging and threat detection systems are used for a wide variety of imaging, thermography, and security applications, including airborne and ground-based surveillance, condition monitoring, research and development, manufacturing process control, search and rescue, drug interdiction, navigation, transportation safety, border and maritime patrol, environmental monitoring, and chemical, biological, radiological, nuclear, and explosives (CBRNE) detection. Visit the Company-s web site at .
The statements in this release by Earl Lewis and the statements in the section captioned „Revenue and Earnings Outlook for 2012“ above are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are based on current expectations, estimates and projections about the Company-s business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including the following: changes in demand for the Company-s products, product mix, the timing of customer orders and deliveries, the impact of competitive products and pricing, the Company-s continuing compliance with U.S. export control laws and regulations, the timely receipt of any required export licenses, constraints on supplies of critical components, excess or shortage of production capacity, the ability to manufacture and ship the products in the time period required, actual purchases under agreements, the continuing eligibility of the Company to act as a federal contractor, the amount and availability of appropriated government procurement funds and other risks discussed from time to time in the Company-s Securities and Exchange Commission filings and reports. In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and the Company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release, or for changes made to this document by wire services or Internet service providers.
Shane Harrison +1 503.498.3547
