PLM Group Reports Q4 Profit Growth; Record 2002 Net Earnings
Press release from the issuing company
MARKHAM, ON, March 21 - PLM Group today reported its 10th consecutive profitable quarter.
Fourth Quarter Results
Fourth quarter net earnings were $1.7 million (6 cents per share basic and diluted) for the three months ended December 31, 2002, versus $1.3 million (5 cents per share, basic and diluted) in the same period a year ago.
Fourth quarter earnings in 2002 were negatively impacted as a result of a one-time charge of $0.5 million after tax as a result of a bad debt incurred from a discontinued operation.
12 Month Results
For the year ended December 31, 2002 the company recorded net earnings of $4.1 million (15 cents per share, basic and 14 cents per share diluted) compared to $2.5 million (9 cents per share, basic and diluted) for 2001.
"PLM's performance in the fourth quarter despite reduced sales, demonstrated the benefits of our strong focus on maximizing our assets and building efficiencies to achieve a better bottom line," said Barry Pike, Chairman and Chief Executive Officer. "Maintaining this focus is important at all times, but has become particularly so in the face of very difficult market conditions which have persisted for the past 18 months. These conditions have made it very challenging to add sales, and have certainly resulted in intensified pricing pressure in our markets, so our ability to maintain and enhance margins has been driven by maximizing our internal controls and efficiencies."
"Due to changes in foreign exchange accounting required by the CICA and the impact in 2001 and 2002 of the discontinued operations in Cincinnati", Mr. Pike said "the best indicator of our performance is 'Earnings before income taxes and the following.' As reflected in our financial statements, this line item increased substantially to $3.5 million (13.6% of sales) in the fourth quarter of 2002 from $2.5 million (9.5% of sales) in the same period in 2001. This result further demonstrated the impact of our consolidation and the increased efficiency of our operations despite soft market conditions."
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