JOHNSON CITY, Tenn. (AP) â¿¿ Shares of NN Inc. surged nearly 27 percent Monday after the manufacturer of industrial plastic, rubber and metal components posted higher earnings and said full-year results should improve as well.
The company, based in Johnson City, Tenn., had a major upswing in profitability at its Whirlaway business and solid operating performance at its components units in predicting stronger full-year profit margins and income. NN is also adding more capacity at its China operations, which has resulted in more business for the company.
Net income for the January-through-March period was $5.9 million, or 35 cents per share, up 7 percent from $5.5 million, or 33 cents per share, for the same period in 2011. Adjusted earnings were 39 cents per share, excluding one-time items.
Revenue was $104.5 million, down 6 percent from $111.3 million.CEO Roderick Baty said the Whirlaway unit and the precision metal components business delivered $1.6 million in net income, a $3.8 million rise in profitability from a year ago. He said revenue was down because of weaker demand in Europe. NN shares jumped by $2, or 26.9 percent, to $9.45 in afternoon trading.
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV