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SECURITY: CHP (Common)
EXCHANGE: New York Stock Exchange CURRENCY: US Dollar
C&D Technologies,
Inc. is a technology company that produces and markets systems for the
conversion and storage of electrical power, including industrial batteries
and electronics. It is a leading and valued supplier of products in three
major categories-reserve power systems, electronic power supplies and motive
power systems.
Web site: http://www.cdtechno.com
C&D
Technologies Returns to Profitability - Earnings Per Share $0.02 in First
Quarter Date: 6/5/2008 4:05:00 PM
BLUE
BELL, Pa., June 5 /PRNewswire-FirstCall/ -- C&D Technologies, Inc.
(NYSE: CHP), a leading North American producer and marketer of electrical
power storage and conversion systems used in telecommunications, uninterrupted
power supply systems, utility and other high reliability applications,
today announced financial results for the fiscal 2009 first quarter ended
April 30, 2008.
Results for the quarter and all comparative financial data included herein
reflects the presentation of the Power Electronics Division ("PED") and
Motive Power Division ("Motive") as discontinued operations. With these
changes C&D's continuing operations are now solely comprised of results
from the Standby Power Division.
For the quarter, the Company reported net income of $577,000 or $0.02 per
diluted share, compared to net income of $4.1 million or $0.13 per diluted
share in the prior year's first quarter. Results in the prior year's first
quarter included a gain of $15.2 million, $10.2 million net of minority
interest, on the sale of the Company's former Shanghai, China plant, and
a loss from discontinued operations of $5.2 million or $0.11 per diluted
share. There was no impact from non-recurring items or discontinued operations
in this year's first quarter.
First quarter revenues were $93.8 million, up 21% compared to $77.5 million
in the prior year's first quarter. Unit volume was up approximately 4%
versus the prior year quarter, with the balance of revenue growth due to
pricing. Volume growth continues to be driven by fundamental trends in
enterprise data center construction, telecommunications networking and
consistent strength in the utility market.
Dr. Jeffrey A. Graves, President and CEO said, "First quarter results indicate
the inherent value of our business, which has been obscured over the past
two years due to a combination of spiraling raw material costs and losses
generated by our former Power Electronics and Motive Power divisions. With
the impact of lead costs having been effectively normalized this quarter,
and with roll through of cost reductions and elimination of loss making
businesses, we have seen the Company return to profitability, in line with
our objectives.
This
is an important milestone in our mission and the entire C&D team is
to be commended for their hard work and determination, in making this possible."
In the first quarter the Company's gross profit rose more than 30 percent
to $13.7 million, or 15 percent of revenues, up from 8 percent sequentially
and from 13 percent in the first quarter of fiscal 2008. This improvement
was driven by two factors: (1) the catch up of pricing to lead costs, which
had lagged substantially throughout last year as lead prices on the LME
rapidly increased; and (2) the benefits from cost reduction programs. General
and administrative expenses were up $1.1 million on an absolute basis,
but fell to
10.3
percent of revenues from 11.0 percent of revenues in the first quarter
of 2008. Interest expense in the first quarter was $2.3 million, compared
to $2.2 million in the first quarter of fiscal 2008, largely due to higher
levels of borrowings on the company's credit facility in China.
Dr. Graves continued, "Our goal remains to generate $15 million of cost
reductions in fiscal 2009 through a combination of sourcing, manufacturing,
design, and operational effectiveness initiatives. In the first quarter,
we estimate that we achieved approximately $2.5 million toward this goal.
Prior to this quarter, our cost reduction efforts were necessary to keep
pace with spiraling raw material costs. Now that our underlying operations
are profitable, and pricing has caught up with lead costs, we expect to
see ongoing cost reduction successes directly enhance our bottom line performance.
We remain confident in our ability to deliver the remaining $12.5
million of
committed
cost savings this year."
C&D
Technologies Announces First Quarter Results Date: 6/8/2007 10:13:00 AM
For
a complete listing of our news releases, please click here
BLUE BELL, Pa., June 8 /PRNewswire-FirstCall/ -- C&D Technologies,
Inc. (NYSE: CHP), a leading North American producer and marketer of electrical
power storage and conversion systems used in telecommunications, industrial
and motive applications, today announced financial results for the first
quarter ended April 30, 2007.
For the quarter, the Company reported net income of $2.6 million, or $0.10per
share on a diluted share basis, on revenues of $130.8 million. This compared
to a net loss of $8.7 million, or $0.34 per share on revenues of $129.2
million in the prior year's first quarter. Results for the first
quarter
of fiscal 2008 included a non-recurring gain recognized on the disposal
of the Company's old joint venture Chinese plant of $15.2 million,
and
restructuring costs associated with the closure of the Company's Conyers,
Georgia manufacturing facility of approximately $200,000. The comparable
prior year's first quarter included net restructuring and other special
charges of $2.3 million.
Dr. Jeffrey A. Graves, President and CEO said, "All told, first quarter
performance was again hindered by accelerating lead costs, which are up
roughly
33% to date since the beginning of the year to new historic highs. On the
positive side, we're very pleased with the continued strength of Standby
Power, our core business, which maintained strong top-line momentum while
demonstrating solid progress in our cost reduction programs. We were similarly
pleased with our Power Electronics Division, which delivered stable financial
results in a challenging end-market, while we continue to explore strategic
alternatives for the business. Motive Power continued to struggle
with market challenges and warranty experience."
"Cost reduction remains a critical objective for the balance of the year,
with lead costs continuing to escalate. To that end, we completed
the final qualification and ramp-up of our new joint venture Chinese facility,
made good progress on the consolidation of our Conyers, Georgia facility
into our Leola, Pennsylvania manufacturing plant, and worked hard to mitigate
raw material cost increases through more desirable purchasing arrangements,
including acceleration of our lead tolling and other strategic sourcing
initiatives."
C&D
Technologies, Inc. has added a news release to its Investor Relations website.
Title:
C&D Technologies Announces Fourth Quarter and Full Year Results, Closure
of Conyers, Georgia Manufacturing Plant and Completion of Amendment to
Credit Facility
Date:
4/16/2007 8:45:00 AM
BLUE
BELL, Pa., April 16 /PRNewswire-FirstCall/ -- C&D Technologies, Inc.
(NYSE: CHP), a leading North American producer and marketer of electrical
power storage and conversion systems used in telecommunications, industrial
and motive applications, today announced financial results for the fourth
quarter and year ended January 31, 2007.
For the quarter, the Company reported a net loss of $12.1 million, or 47
cents per share on a diluted share basis, on revenues of $132.3 million.
This compared to break-even results in the prior year's fourth quarter
on revenues of $124.5 million. Results for the fourth quarter of
fiscal 2007 included net restructuring and other special charges totaling
$5.1 million, while results for the fourth quarter of fiscal 2006 included
net restructuring and other special charges totaling $0.3 million.
For the year, the Company reported a net loss of $46.1 million, or $1.80
per diluted share, on revenues of $524.6 million. This compares to a net
loss of $60.7 million, or $2.39 per share, on revenues of $497.4 million
in fiscal 2006. Restructuring, impairment and other special charges
totaled $26.4 million and $42.8 million in fiscal 2007 and fiscal 2006,
respectively.
In commenting on the financial results for the year, Dr. Jeffrey A. Graves,
President and CEO of the Company, said, "Fiscal 2007 was a tough year,
but we took the hard actions necessary to remain competitive and establish
the platform for our future success. We relentlessly addressed those
factors within our control, aggressively pursuing cost savings initiatives
in sourcing, manufacturing, design, and operations. As a result of
these actions, we are well positioned to benefit as our markets continue
to grow and as raw material prices return to historic levels."
"The continued escalation of lead and other raw material prices negatively
impacted margins and operating income in our core Power Systems Division
throughout fiscal 2007. We increased base prices twice during the
fiscal year to partially recoup these additional costs, and we also implemented
an industry-first lead surcharge mechanism. These efforts helped us to
partially offset rising raw material prices and to generate a 8.6% increase
in Power
Systems
Division revenues on a year-over-year basis. Despite these actions,
higher lead and other material costs, net of pricing actions, impacted
operating
profit by over $6 million during the year. |
