AST Research, IRVINE

September 13, 1993|JANICE L. JONES / Los Angeles Times

Nature of business: Computer designer and manufacturer Total employees: 6,618 In Orange County: 1,806 Stock listing in The Times: On NASDAQ as "AST" Ticker symbol: "ASTA"Friday's stock close: $15.75 One-week change: Unchanged


Analyst review: "After AST Research digests its acquisition of Tandy's personal computer operations it should emerge as one of the leading participants in the worldwide personal computer industry. Brand name, breadth of distribution, lean cost structure, depth of management, critical mass in terms of market share and size, and strong finances will be the key determinants of the survivors. We believe AST is moving to put all the critical ingredients together. Prior to the acquisition, its balance sheet showed a strong cash position and relatively little debt. It is believed to have the largest share of the relatively small but potentially huge Chinese market." --Eugene G. Glazer, analyst, Dean Witter Reynolds, New York *Dollar amount in millions

1989 1990 1991 1992 1993 Revenue 456.5 533.8 688.5 944.1 1,412.1 Profit -7.5 35.0 64.7 68.5 -53.7

Corporate outlook: "Fiscal 1993 was a period of significant accomplishment for AST, demonstrated by strong revenue growth and high unit volume increases. We believe the Tandy acquisition, the expansion of our senior management team and our intense focus on customer satisfaction will continue to result in increased worldwide market share." Safi Qureshey, president/CEO FIVE-YEAR SUMMARY: RETURN ON STOCKHOLDER INVESTMENT

Fiscal year ending June 30 June 30 June 28 June 27 1989 1990 1991 1992 52-week high $8.69 $12.75 $32.75 $32.25 52-week low $3.31 $3.63 $7.44 $12.50 Book value per share $9.37 $12.63 $9.34 $11.42 Price per share $4.75 $11.94 $20.25 $12.88 Net earnings (loss) $(0.32) $1.21 $2.13 $2.16 per share* Price-to-earnings ratio N/A 10:1 10:1 6:1 Avg. return on investor equity N/A 18% 23% 19% N/A

Fiscal year ending July 3 1993 52-week high $24.25 52-week low $11.25 Book value per share $10.00 Price per share $15.00 Net earnings (loss) ($1.72) per share* Price-to-earnings ratio N/A Avg. return on investor equity N/A

Note: AST Research incurred an anticipated loss due to the 4th quarter purchase of Tandy Corp.'s PC manufacturing operations. *Restated to reflect a two-for-one stock split on Jan.31, 1991. For more information call or write, AST Research Inc.: Irvine, Calif. 92713. (714) 727-4141 Source: AST Research Inc. ; Bloomberg Business News

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