(NYSE Amex: CCF)
today reported revenues of $31.3 million for the quarter ended November 30, 2010. This represents an increase of 29% compared to $24.3 million in the first fiscal quarter of last year. Net income of $2.93 million increased 38% from $2.12 million in the prior year period. Net income in the prior year includes $274 thousand from discontinued operations. Earnings per diluted share of $0.32 in the first quarter of fiscal 2011 increased $0.08 from $0.24 per share in fiscal 2010. Prior year earnings per share includes $0.03 from discontinued operations.
Peter R. Chase, Chairman and Chief Executive Officer commented: "We had a robust first quarter and did exceptionally well in comparison to the same period in the previous year, when certain market segments were still suffering from the economic downturn. As fiscal 2010 progressed our business made a strong recovery reaching new levels of success. With that in mind our outlook for the balance of 2011 is positive, but growth rates should be more modest compared to what we have seen in recent quarters. Plans for reinvestment, consolidation, increased product development and additional acquisitions remain active as we execute our
term growth strategy
Revenue and profit in the first quarter of fiscal 2011 benefitted from the acquisitions completed in fiscal 2010. Increased sales from CIM (acquired in September 2009) and the impact of sales from ServiWrap (acquired in December 2009) accounted for $2.7 million of the increase. Additionally, Wire & Cable, Construction & Pipeline and Electronic Coatings product lines all saw revenue growth compared to the first fiscal quarter in the prior year.
Net income increased in the current quarter, despite, gross profit being negatively impacted by increased raw material costs as well unfavorable product mix compared to the prior year.