Baldwin Reports FY05 Q2 Results: Net Sales Up 4.5%
Press release from the issuing company
SHELTON, Conn.--Jan. 27, 2005--Baldwin Technology Company, Inc. today reported financial results for its second quarter and six months ended December 31, 2004.
Net sales for the second quarter were $41,232,000, an increase of 4.5% from $39,443,000 for the comparable quarter in the prior year. Excluding the effects of currency translation, sales for the quarter were essentially flat year over year. Net income for the second quarter was $788,000 or $0.05 per diluted share, down from $1,224,000 or $0.08 per diluted share for the second quarter of last year. However, the prior year's second quarter income before taxes of $2,014,000 included approximately $1,100,000 of a favorable impact from foreign exchange gains primarily associated with the company's then outstanding debt.
Net sales for the six months ended December 31, 2004 of $81,229,000 represented an increase of approximately 10% from $73,954,000 for the comparable period in the prior year. Excluding the effects of currency translation, net sales grew by about 4% for the six-month period. Year to date net income was $1,507,000 or $0.10 per diluted share compared to $1,903,000 or $0.13 per diluted share for the six months ended December 31, 2003. The prior year's six months income before taxes of $3,176,000 included approximately $1,600,000 of the aforementioned favorable gain associated with the company's then outstanding debt.
Vijay C. Tharani, Vice President and Chief Financial Officer, commented: "While we were pleased with the orders, sales, and backlog levels achieved in our second quarter and first half, we were not pleased with other aspects of our performance such as operating margins and inventory levels. These areas are being given significant management time and attention as we go into the second half of our fiscal year."
Gerald A. Nathe, Chairman, President and Chief Executive Officer, added: "Baldwin's first half orders of $86,794,000 increased our backlog to $50,488,000 on December 31, 2004, up from $44,923,000 on June 30, 2004. While pricing and cost pressures have kept the Company's markets competitive and challenging, particularly in the Americas, our operations in Asia and Europe continue to perform well."
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