HIALEAH, Fla., Aug. 14, 2007 (PRIME NEWSWIRE) -- Simclar, Inc. (Nasdaq:SIMC), a multi-plant electronics contract manufacturer, reported its results for the three months ended June 30, 2007.
Revenue for the three months ended June 30, 2007 was $37,118,798, up 22% from $30,399,457 in the same period in 2006. The growth was attributable to additional business from existing and new customers.
Pre-tax income for the three months ended June 30, 2007 was $2,081,379 compared to $1,284,177 for the same period in 2006. The major contributors to this were the increased sales volumes and the resultant improvement in gross margin.
Net income for the three months ended June 30, 2007 was $1,372,346 or $0.21 per share, compared to $709,033 or $0.12 per share in the same period in 2006.
"I am pleased with the progress we made in the second quarter," commented Sam Russell, Chairman. "We are beginning to realize the increased benefit of the vertical integration of our products. Our backlog at the end of the quarter was $30.6 million, an increase of 8.6% for the year, which put us in a strong position going into the second half of the year. The management team continues to focus on improving efficiencies, reducing costs, and controlling inventories. Our cash generation in the first half of the year has been good and has allowed us to make $1.5 million of additional bank loan repayments, over and above our scheduled repayments."
Simclar, Inc., with five North American manufacturing locations, and two regional Sales/NPI locations has been engaged in contract manufacturing of electronic and electro-mechanical products for OEMs for 31 years.
Statements in this news release, which relate to other than strictly historical facts, such as statements about the Company's plans and strategies, expectations for future financial performance, and markets for the Company's products and services are forward-looking statements. The words "believe," "expect," "anticipate," "estimate," "project," and similar expressions identify forward-looking statements that speak only as of the date hereof. Investors are cautioned that such statements involve risks and uncertainties that could cause actual results to differ materially from historical or anticipated results due to many factors including, but not limited to, the Company's customer concentration, debt covenants, competition, and other risks detailed in the Company's most recent Annual Report on Form 10-K and other Securities and Exchange Commission filings. The Company undertakes no obligation to publicly update or revise any forward-looking statements.
Visit Simclar, Inc. at its website, www.simclar.com for more information about the Company.