VIDE Video Display Corporation (PK)

Video Display Corporation (Nasdaq:VIDE), a world leader in the supply of unique medical, defense and industrial display solutions, reports financial results for the fiscal third quarter and nine month periods ended November 30, 2011.

Revenue for the three month period ended November 30, 2011 is reported at $16.04 million representing an increase of $2.92 million or 22.2% versus the third quarter of the previous fiscal year.

After-tax profit for the quarter was reported at $1,258,000 versus $150,000 for the previous year third quarter. Fully diluted earnings per share for the third fiscal quarter ended November 30, 2011 are reported at a profit of $0.17 versus the previous year's third quarter fully diluted profit of $0.02 per share.

Revenue for the nine month period ended November 30, 2011 is reported at $49.60 million versus $44.53 million reported for November 30, 2010, an increase of 11% versus the previous year's comparable nine month period. Fully diluted earnings per share increased to $0.45 for the first nine months of fiscal 2012 versus $0.24 for the like period of 2011.

Company CEO, Ron Ordway, stated, "Results generated for the third quarter were impressive as the Company continues to benefit from its efforts to consolidate and streamline its product lines and marketing efforts. I anticipate that the Company will also continue to show equally strong results for the fiscal fourth quarter as well. I would expect previously stated fourth quarter guidance, without any non-recurring gains or losses, to still be attainable and the full year earnings per share may exceed such previously given guidance by nearly five percent and are currently expected to be in the range of $0.58 to $0.62 per share for the fiscal year February 29, 2012."

Video Display Corporation designs, develops and manufactures unique solutions for display requirements for military, medical and industrial use with emphasis on high end training and simulation applications. Its product offerings include rugged AMLCD and CRT displays as well as complete projection systems utilizing VDC's Marquee™ line of projectors. Video Display Corporation operates eight display design and manufacturing plants plus additional sales facilities throughout the United States and Europe.

This document contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. In addition, from time to time, Video Display Corporation or its representatives have made or may make forward-looking statements, orally or in writing. Such forward-looking statements may be included in, but are not limited to, various filings made by the Company with the Securities and Exchange Commission, press releases or oral statements made with the approval of an authorized executive officer of the Company. Actual results could differ materially from those projected or suggested in any forward-looking statements as a result of a wide variety of factors and conditions, including items discussed in the Company's Form 10-K for the year ended February 28, 2011, filed with the Securities and Exchange Commission. The Company undertakes no duty to publicly update forward-looking statements, whether as a result of new information, future events or otherwise.

Video Display Corporation and Subsidiaries
Condensed Consolidated Income Statements (unaudited)
(in thousands, except per share data)
	Three Months Ended		Nine Months Ended
	November 30,		November 30,
	2011	2010	2011	2010
Net sales	$16,036	$13,121	$49,602	$44,528
Cost of goods sold	10,667	9,881	33,689	32,571
Gross profit	5,369	3,240	15,913	11,957
Operating expenses
Selling and delivery	1,413	1,081	3,994	3,184
General and administrative	2,040	1,714	6,370	5,066
	3,453	2,795	10,364	8,250
Operating profit	1,916	445	5,549	3,707
Other income (expense)
Interest expense	(185)	(218)	(624)	(715)
Other, net	67	58	137	229
	(118)	(160)	(487)	(486)
Income from continuing operations before income taxes	1,798	285	5,062	3,221
Income tax expense	540	135	1,565	1,110
Net income from continuing operations	$1,258	$150	$3,497	$2,111
Income (loss) from discontinued operations, net of income tax expense (benefit) of $52 and ($21)	--	(569)	--	(609)
Net income	$1,258	$(419)	$3,497	$1,502
Net income per share:
From continuing operations-basic	$.17	$.02	$.46	$.26
From continuing operations-diluted	$.17	$.02	$.45	$.24
From discontinued operations-basic	$.00	$(.07)	$.00	$(.08)
From discontinued operations-diluted	$.00	$(.07)	$.00	$(.07)
Basic weighted average shares outstanding	7,628	8,365	7,619	8,365
Diluted weighted average shares outstanding	7,683	8,700	7,855	8,693

CONTACT: Ronald D. Ordway, Chairman and CEO
         770-938-2080