Sypris' Q4 Profits Growing Again
LOUISVILLE, KY -- Sypris Solutions today reported fourth-quarter net income from continuing operations of $14.8 million on revenue of $66.1 million.
For the period ended Dec. 31, sales were down 18.1% but the electronics manufacturing company swung to a profit after losing $121.9 million last year. Gross margins increased to 8.8% of revenue, up from -1.6% in the fourth quarter last year and 8.3% sequentially. Aerospace & Defense gross margin increased to 20.4% of revenue, up from 1.0% a year ago.
The firm raised $60 million from the sale of its Test & Measurement unit and the liquidation of marketable securities.
For the quarter, Electronics Group revenue was $25.7 million, down 23% from the prior year on lower sales of older programs. Gross profit increased $4.9 million to $5.2 million, and gross margins rose to 20.4% from 1%.
“The outlook for our Electronics Group remains positive, with this segment of our business expected to benefit from further gross margin expansion during 2010 as a result of new program launches, process improvements, increased productivity and lower costs driven by Lean and Six Sigma quality programs,” CEO Jeff Gill said.
For the year, revenue from continuing operations was $265.9 million, down 25.3%. The loss from continuing operations narrowed to $5.3 million, versus a loss of $130.4 million in 2008.
