Fiscal 2013 fourth quarter total revenue increased 1.0% to $31.1 million from $30.8 million in the fourth quarter of the prior fiscal year driven by Service segment revenue growth of 14.1%. Distribution segment sales declined 5.9% from the prior fiscal year period.

 Operating income for the fourth quarter of fiscal 2013 was $3.0 million, a $1.0 million increase from the prior fiscal year period. Operating margin improved 310 basis points to 9.5% in the fourth quarter of fiscal 2013 compared with 6.4% for the prior-year period. Total operating expenses in the fourth quarter of fiscal 2013 declined $0.4 million, or 6.5%, primarily driven by a year-over-year decline in performance-based compensation.

 Net income was $1.8 million, or $0.24 per diluted share, in the fourth quarter of fiscal 2013, compared with $1.2 million, or $0.16 per diluted share, in the fourth quarter of fiscal 2012.

 Lee D. Rudow, president and chief operating officer of Transcat, said, “Our strategic acquisitions in the Service segment provided $1.5 million in fourth quarter revenue, resulting in a record quarter and more than offset the decrease in distribution sales. Coming off a robust fiscal 2012 and despite the record revenue and net income, the challenging economic environment in fiscal 2013 was a major factor in achieving less than expected results, which reduced performance-based compensation.”

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