This Day On The Street
Continue to site right-arrow
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
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Magnetek Announces Second Quarter Fiscal 2012 Results

Stocks in this article: MAG

Magnetek, Inc. (NASDAQ: MAG):

Q2 Highlights

  • Net income from continuing operations increased 48% to nearly $2.3 million, or $.70 per diluted share, compared to prior year net income from continuing operations of $1.5 million, or $.48 per diluted share.
  • Second quarter net sales totaled $29.0 million, down from $31.1 million in the prior year quarter, due to lower sales of wind power inverters.
  • Cash balances increased by $1.3 million during the second quarter to $27.3 million after contributing $3.9 million to pension plan.

Magnetek, Inc. (“Magnetek” or “the Company”, NASDAQ: MAG) today reported the results of its second quarter of fiscal year 2012, ended July 1, 2012.

Second Quarter Results

In the second quarter of fiscal 2012, Magnetek recorded revenue of $29.0 million, a slight sequential increase from the first quarter of fiscal 2012, but a 7% decrease from the prior year quarter. The decrease in sales from the prior year quarter reflects lower sales of wind power inverters, partially offset by sales growth of products for material handling and mining markets. Despite the lower sales, second quarter pre-tax income from operations increased more than 50% to $2.5 million from $1.6 million in the comparable quarter last year, due mainly to lower operating expenses.

“Sales into our traditional served markets continued to grow at a moderate pace during the second quarter. Conditions in those markets remained largely favorable during the period, particularly in material handling, where our sales increased to nearly $19 million during the quarter,” said Peter McCormick, Magnetek’s president and chief executive officer. “Similar to our first quarter, growth in our industrial markets was offset by declining sales of wind inverters, as renewable energy market conditions remain quite challenging. However the favorable shift in our sales mix toward our traditional markets helped us generate gross margins of 35% in the second quarter. In addition, we improved our liquidity by increasing our cash balances to more than $27 million,” said Mr. McCormick.

1 of 5

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs