Overview

* Digital display maker Daktronics ( DAKT ) fiscal Q4 rev falls 20% yr/yr to $172.6 mln

* Company reports Q4 operating loss of $1.7 mln, down from profit last year

* Q4 orders up 17% yr/yr, reflecting strong market demand

* Co says measures to mitigate tariff impacts include selective price adjustments, escalation clauses built into contracts

Outlook

* Daktronics ( DAKT ) reconfirms 7-10% sales growth over three years

* Company expects 10-12% operating margin for the next three years

* Daktronics ( DAKT ) sees 17-20% ROIC in its three-year plan

* Company cites uncertainty in tariff environment impacting forecasts

Result Drivers

* TARIFF UNCERTAINTY - Tariff environment remains uncertain, impacting cost management strategies, per CEO Brad Wiemann

* ORDER GROWTH - Strong demand in International business unit drove Q4 orders up 17% YoY, per CEO Brad Wiemann

* BUSINESS TRANSFORMATION - Initiatives focused on inventory efficiency and value-based pricing contributed to improved cash flow, according to CEO Brad Wiemann

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q4 $172.55

Revenue mln

Q4 EPS -$0.19

Q4 Net -$9.42

Income mln

Q4 -$1.74

Operatin mln

g

Income

Analyst Coverage

* The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the electronic equipment & parts peer group is "buy."

* Wall Street's median 12-month price target for Daktronics Inc ( DAKT ) is $22.00, about 30.9% above its last closing price of $15.20

* The stock recently traded at 16 times the next 12-month earnings vs. a P/E of 15 three months ago

Press Release:

(This story was created using Reuters automation and AI capabilities based on LSEG and company data. The headline and summary were reviewed by a Reuters journalist prior to publication.)