This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Hardinge Inc. Reports Net Income Grows 69% On 11% Increase In Sales For Fourth Quarter 2011

Selling, general and administrative (“SG&A”) expenses in the 2011 fourth quarter were $19.0 million compared with $16.5 million in the prior year’s fourth quarter. The increase was primarily due to commissions on higher sales, performance-based compensation increases and approximately $0.4 million associated with foreign currency exchange. As a percent of sales, SG&A was 20.9% in the 2011 fourth quarter, up from 20.1% in the prior year’s fourth quarter. For the year, SG&A expenses increased 12%, or $7.9 million, to $73.6 million compared with $65.7 million in 2010; however, as a percent of sales, SG&A was down to 21.5% of sales in 2011 compared with 25.5% in the prior year, reflecting the Company’s emphasis on cost discipline.

Income from operations in the fourth quarter of 2011 was $3.6 million, up 12% over $3.3 million in the prior year’s fourth quarter. As a percent of sales, income from operations remained unchanged at 4.0%. For the year, income from operations was $16.6 million, or 4.9% of sales, compared with a loss from operations of $2.7 million in the prior year.

Earnings before interest, taxes, depreciation and amortization (EBITDA) grew 11% to $5.5 million in the 2011 fourth quarter compared with $4.9 million in the same period of the prior year. 2011 EBITDA was $24.3 million, sharply improved over EBITDA of $4.3 million in the prior fiscal year. The Company believes that, when used in conjunction with GAAP measures, EBITDA, which is a non-GAAP measure, helps in the understanding of operating performance. (See the attached table for a Reconciliation of Net Income (Loss) to EBITDA and other important information regarding Hardinge’s use and presentation of EBITDA).

Solid Balance Sheet Provides Financial Flexibility for Growth Strategy

Cash and cash equivalents at December 31, 2011 were $21.7 million compared with $30.9 million at December 31, 2010. During 2011, Hardinge invested $17.2 million in the expansion of its manufacturing operations in China and Switzerland to provide additional capacity for growth and productivity enhancements. Total capital expenditures in 2011 were $19.2 million. Capital expenditures in fiscal 2012 are expected to be approximately $7 million to $8 million, with approximately $3 million to $4 million related to maintenance capital spend. The remainder is planned for completion of the China and Switzerland projects.

3 of 6

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $95.03 -2.90%
FB $116.73 7.20%
GOOG $691.02 -2.10%
TSLA $247.54 -1.60%
YHOO $36.59 -0.97%


Chart of I:DJI
DOW 17,830.76 -210.79 -1.17%
S&P 500 2,075.81 -19.34 -0.92%
NASDAQ 4,805.2910 -57.85 -1.19%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs