Sypris Solutions, Inc. (Nasdaq/NM: SYPR) today reported financial results for its second quarter ended July 3, 2011.
- Revenue increased 35% from the prior year quarter driven by a 48% increase in sales for the Industrial Group.
- Gross profit increased 77% from the prior year period, reflecting a 210% increase in gross profit for the Industrial Group.
- Profit conversion on incremental revenue growth for the Industrial Group exceeded 21% on a year-over-year basis and 20% sequentially.
- The Company entered into a new long-term credit facility to lower its borrowing costs, increase its liquidity and extend loan maturities into 2016.
- The Company announced the opening of a new state-of-the-art Cyber Collaboration Center to serve as a training ground and test-bed for security engineers to develop best practices in ethical hacking and defense tactics.
- Subsequent to quarter-end, the Company announced a new long-term supply agreement to provide drivetrain components to Sisamex Automotrices de Mexico.
─────────────────────The Company reported revenue of $85.1 million for the second quarter compared to $63.1 million for the prior year period. The Company reported a net loss of $1.6 million, or $0.08 per share, for the second quarter compared to a net loss of $4.3 million, or $0.23 per share, for the prior year period. For the six months ended July 3, 2011, the Company reported revenue of $160.9 million compared to $126.0 million for the prior year period and net income of $0.5 million, or $0.03 per diluted share, compared to a net loss of $6.7 million, or $0.36 per share. The Company’s income from continuing operations for the six months ended July 3, 2011 was $1.0 million, or $0.05 per diluted share, as compared to a loss of $6.4 million, or $0.34 per share, for the prior year period. Income from continuing operations for the six months ended July 3, 2011 included a gain of $3.0 million in connection with a settlement regarding prior year volumes with one of its customers.