SIOUX FALLS, S.D. (AP) — Manufacturing company Raven Industries Inc. said its third-quarter profit fell slightly from the year before as declining avionics sales wiped out gains in the agricultural division.
The company said Tuesday its net income for the quarter ended Oct. 31 was $11.4 million, or 63 cents per share, down 4 percent from $11.8 million, or 65 cents per share, during the same period last year.
Sales during the quarter were $93.3 million, up 9 percent from $85.8 million during the prior-year period.
The company said higher sales were led by its agricultural equipment division. Crop prices have been historically high this year, giving farmers the cash and incentive they need to invest more money in pricey equipment.
CEO Daniel Rykhus said demand jumped for field computers, guidance systems and steering controls that Raven Industries produces.
But results were hurt by a decline in sales at the company's Aerostar division, which makes avionics equipment. Aerostar sales fell 34 percent to $10.5 million during the quarter, from $15.9 million during the prior-year period.
Shares of Raven Industries fell $2.16, or nearly 4 percent, to $55.85 in midday trading.