Kimball's Q2 Sales Slip 16% YoY
For the period ended Dec. 31, sales were down 16% and profits were down 75%.
The net income included $2 million of after-tax income from a settlement related to an antitrust class action lawsuit. Kimball took $200,000 of after-tax restructuring charges during the period.
Net sales were flat at $166.9 million in the electronic manufacturing services (EMS) segment. Gross profit as a percent of net sales improved year-over-year. The net income rose to $2.67 million, from a loss of $709,000 last year. Net sales to customers in automotive were higher, but industrial control and public safety lagged.
The class action settlement involved alleged illegal price-fixing of electronic components by a Kimball supplier.
In a press statement, chief executive and president James C. Thyen said, “Our EMS segment continued its trend of sequential quarterly sales and margin improvement. We have seen encouraging signs of stability for our EMS segment as evidenced by increased customer demand as well as recent new business wins.”
