The Eastern Company (NYSE Amex-EML) today announced the results of its operations for the second quarter and six months of 2010. Sales for the quarter were $32.6 million, compared to $28.1 million for the same period in 2009, a 16% increase, while net income was $1.4 million or $0.23 per diluted share, compared to the $842,000, or $0.13 per diluted share, reported in the second quarter of 2009, a 67% increase.
Net sales for the six months of 2010 were $63.5 million compared to $56.5 million for the first six months of 2009, a 12% increase. For the six month period ended July 3, 2010 net income was $2.4 million or $0.40 per diluted share, compared to a loss of ($240,000) or ($.04) per diluted share for the same period in 2009.
Mr. Leganza Chairman, President and CEO stated, “All three of our business segments experienced increased sales and earnings as compared to the second quarter and first six months of 2009, an upward trend which began in the first quarter of this year. While we have experienced our sales increase in almost all of the markets we serve, we believe it is yet too early to conclude whether or not the economy will continue to sustain itself and get stronger. However, we feel very positive and confident about our business plans and objectives for 2010 and continue to anticipate an overall improvement in sales and earnings for the year. The cost and expense reductions we implemented during 2009 have been important toward providing positive earnings results across all our business segments.”
Leonard F. Leganza, added, “The Metal Products Group has benefited from the strong demand for coal. The mining industry is, as a consequence, expected to remain robust in the foreseeable future. The $2.5 million production improvement plan we initiated is on schedule with the major installations to take place during the early part of August. No disruptions of customer service are anticipated.”