Transcat, Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended December 23, 2017. For the quarter, total revenue was $40,483,000 against $37,813,000 a year ago. Operating income was $2,654,000 against $2,353,000 a year ago. Income before income taxes was $2,343,000 against $2,165,000 a year ago. Net income was $1,831,000 against $1,270,000 a year ago. Diluted earnings per share were $0.25 against $0.18 per basic and diluted share a year ago. Adjusted EBITDA was $4,400,000 against $4,214,000 a year ago.

For the nine months, total revenue was $112,689,000 against $105,445,000 a year ago. Operating income was $5,523,000 against $5,369,000 a year ago. Income before income taxes was $4,669,000 against $4,822,000 a year ago. Net income was $3,468,000 against $3,093,000 a year ago. Diluted earnings per share were $0.48 against $0.43 a year ago. Net cash provided by operating activities was $5,817,000 against $3,874,000 a year ago. Purchase of property and equipment was $5,084,000 against $4,104,000 a year ago. Adjusted EBITDA was $11,058,000 against $14,520,000 a year ago.

Given the changes to the federal corporate income tax rate, the company expects its blended income tax rate for fiscal year 2018 to range between 28% and 29%. The Company tightened its capital expenditures expectations for the full year fiscal 2018 to a range of $6.0 million to $6.3 million, which is being used primarily for IT infrastructure investments to drive operational excellence, specific customer-opportunity driven Service capabilities and additional assets for the Company's growing rental business.

For fiscal year 2019, the Company expects its effective income tax rate to be approximately 26%.