Business News
Core Molding Technologies Reports Second Quarter 2008 Results
Thursday 07. August 2008 - Core Molding Technologies, Inc. (AMEX:CMT) today announced results for the second quarter and six months ended June 30, 2008.
The Company recorded net income for the second quarter of 2008 of $1,716,000, or $.25 per basic and $.24 per diluted share, compared with $1,266,000, or $.12 per basic and diluted share, in the second quarter of 2007. In July 2007, the Company purchased 3,600,000 shares of its common stock which reduced the shares outstanding and had a favorable impact on earnings per share for the three month period ended June 30, 2008 compared to the three month period ended June 30, 2007.
Total net sales for the second quarter were $29,939,000, compared with $38,295,000 in the same quarter of 2007. Product sales for the three months ended June 30, 2008 increased 19 percent, to $29,395,000, from $24,685,000 for the same period one year ago. The increase in product sales is primarily due to increased volume for new production models programs begun in 2007 for certain medium and heavy duty truck customers and a slight improvement in overall truck production levels. Tooling sales totaled $544,000 for the second quarter 2008 versus $13,610,000 for the similar time period in 2007. Revenue from tooling projects is sporadic in nature.
For the first six months of 2008, net income was $2,580,000, or $.38 per basic and $.37 per diluted share, compared with $2,479,000, or $.24 per basic and $.23 per diluted share, for the first six months of 2007. The Company’s purchase of its common stock as noted above also had a favorable impact on earnings per share for the six month period ended June 30, 2008 compared to the six month period ended June 30, 2007. Total net sales for the first half of 2008 were $59,024,000, compared with $69,524,000 in the first half of 2007. Product sales for the first six months of 2008 were $55,378,000 compared to $55,336,000 for the same period in 2007. Tooling sales totaled $3,646,000 for the first six months of 2008 versus $14,188,000 for the same period in 2007.
The Company also announced that it has been added to the Russell Microcap Index after the Russell Investment Group reconstituted its comprehensive set of U.S. and global equity indexes on June 27, 2008. The Company will hold its membership until Russell reconstitutes its indexes in June 2009.
“Considering the overall market conditions, we are generally pleased with our results for the second quarter,” said Kevin L. Barnett, president and chief executive officer. “We benefited from the additional sales related to new production models and have aggressively worked to control our costs and work efficiently during these challenging economic times,” continued Barnett. “Looking forward, we continue to position the Company to support increased truck production levels which industry analysts forecast for late 2008 to 2009,” said Mr. Barnett.