The body armor manufacturer said the follow-on order came after it successfully met the client's deadline in filling a $7.5 million order in early May.
Rabintex Industries (TASE:RABN) reported that it received an $11 million follow-on order for ballistic personal body armor at the end of last week. The equipment will be supplied between June and December of this year.
The follow-on order came after Rabintex successfully met the client's deadline in filling a prior contract signed in early May. At that time, Rabintex reported that it had won a contract to supply $7.5 million in body armor to a US customer, but in the end, the customer elected to make the order in stages, and ordered only $4.5 million initially. Later on, the customer increased the order to $7.5 million. Including today's order, the US client has ordered a total of $18 million in products from Rabintex.
Rabintex reported a first quarter operating profit of NIS 8.6 million, compared with an operating profit of NIS 2.3 million in the corresponding quarter last year. Rabintex, like FMS Enterprises Migun (TASE:FBRT), which manufactures the ballistic sheeting used in body armor, targets most of its products (representing 97% of sales) to markets outside Israel. Rabintex's sales turnover for the first quarter of 2004 was NIS 37.2 million, a 282% increase over the corresponding quarter, and 6.7% higher than in the fourth quarter of 2003.
Rabintex is highly dependent on a limited number of customers, four of which represent about 83% of its revenue for the first quarter.
Published by Globes [online] - www.globes.co.il - on Sunday, June 06, 2004
