Supreme Industries sales down, margins and pre-tax income up in Q1
Supreme Industries announced improved pre-tax earnings despite a reduction in consolidated net sales in the first quarter.
Posted on April 25, 2013 at 1:00 a.m.
| Updated on April 25, 2013 at 4:54 p.m.
GOSHEN — Supreme Industries saw higher gross margins and pre-tax income in the first quarter despite a decline in net sales, the company reported Thursday, April 25.
The company will hold a conference call to review the results at 9 a.m. April 26 and will be streamed live at http://www.SupremeInd.com.
Consolidated net sales were $65.9 million, down 8.7 percent from the same period last year. Truck sales were higher but bus sales were lower on heavy competition in the bus market.
Gross margin as a percentage of sales was 17.3 percent compared to 15 percent in the same quarter of 2012. Gross profit rose to $11.4 million, up from $10.8 million in the quarter a year ago.
Pre-tax income was up 37.2 percent to $3.4 million. The company’s effective tax rate was 32.3 percent, compared to zero the year before with operating loss carryovers.
”The truck division’s strong performance was a significant highlight during the year’s opening quarter. By responding to softer demand from fleet operators and increasing retail sales, we not only achieved higher year-over-year sales of trucks, but also substantial margin improvement,” said Matthew Long, chief financial officer and interim chief executive officer.
The company announced last week that it named Mark Weber as the new CEO. He will start May 6.