Magnetek, Inc. (NASDAQ: MAG):
- Third quarter net sales totaled $26.9 million, down from $29.2 million in the prior year quarter, mainly due to lower sales of wind power inverters. Material handling sales increased 9% over last year to more than $21 million.
- Third quarter gross margin increased to 36.0% of sales in fiscal 2012 from 33.6% in the same period last year, due to a favorable shift in product mix.
- Continuing operations remained firmly profitable, with net income of $1.7 million, or $.51 per diluted share, compared to prior year net income from continuing operations of $2.0 million, or $.61 per diluted share.
- Cash balances increased to $27.4 million at the end of the third quarter after the Company contributed $3.9 million to its pension plan during the quarter.
- Third quarter fiscal 2012 bookings remain strong at nearly $29 million, and order backlog increased by $1 million during the third quarter of fiscal 2012.
Magnetek, Inc. (“Magnetek” or “the Company”, NASDAQ: MAG) today reported the results of its third quarter of fiscal year 2012, ended September 30, 2012.
Third Quarter ResultsIn the third quarter of fiscal 2012, Magnetek recorded revenue of $26.9 million, a decrease of 8% from the prior year quarter, mainly due to lower sales of products for renewable energy and mining applications, partially offset by sales growth of products for material handling markets. The current year sales figure also reflects a reduction in renewable energy sales of $1.4 million resulting from the resolution of order cancellations with the Company’s wind customer. Third quarter operating income decreased to $1.9 million from $2.3 million in the comparable quarter last year, due mainly to higher pension expense in the current year.