Newport Corp. Reports 18% Drop in Net Income

Newport Corp., a Fountain Valley-based manufacturer of laser research equipment, said that fiscal 1987 second-quarter net income dropped 18% to $1.04 million from $1.3 million a year earlier. Sales for the quarter ended Jan. 31 increased 10% to $10.1 million from $9.2 million.

For the fiscal six months, earnings dropped 21% to $2.3 million from $2.9 million, while revenues increased 12% to $21.2 million from $18.9 million.

The company attributed its earnings decline to a drop in interest earnings and to above-normal manufacturing and selling costs tied to the introduction of several new products and expansion of its overseas sales force.