Business
The Eastern Company Reports Results for the Fourth Quarter Fiscal 2020
A Rebound in Sales to $60.4 Million and Backlog to $85.0 Million, as Many Markets Return to Pre-Pandemic DemandNAUGATUCK, CT / ACCESSWIRE / March 15, 2021 /
About this update from Eastern Company (the)
[{"type":"text","content":"A Rebound in Sales to $60.4 Million and Backlog to $85.0 Million, as Many Markets Return to Pre-Pandemic DemandNAUGATUCK, CT / ACCESSWIRE / March 15, 2021 / The Eastern Company (\"Eastern\" or the \"Company\") (NASDAQ:EML), a manufacturer of unique engineered solutions serving industrial markets, today announced the results of operations for the fourth quarter and fiscal year ended January 2, 2021.Eastern's comprehensive program to maintain the health and safety of employees resulted in no closures and no interruption of operations related to the COVID-19 pandemic at any of its 21 facilities during the fourth quarter of fiscal 2020.Net sales were $60.4 million in the fourth quarter of fiscal 2020. The Company experienced a sharp recovery in demand to pre-pandemic levels across most of its end-markets. However, the divestiture of our composite panel businesses, delays in new automotive launches, and lower sales to mining customers caused fourth quarter sales to lag prior year comparable sales.Earnings in the fourth quarter and fiscal year of 2020 were $0.23 and $0.86 per diluted share, respectively. Adjusted earnings for the fourth quarter and full-year of 2020 were $0.74 and $1.95 per diluted share, respectively. (See \"Non-GAAP Financial Measures\" below.)Eastern's backlog of orders increased to $85.0 million as of January 2, 2021, compared to $71.2 million as of December 28, 2019, as demand for many of the Company's products and services has rebounded.Eastern's cash position remained strong in 2020, highlighted by $20.7 million in cash generation from operations.President and CEO August Vlak commented, \"During the fourth quarter, demand across the vast majority of our product and service offerings accelerated, marking two quarters of strong sequential growth from the severe contraction during the second quarter. Coupled with this recovery in demand, our recent acquisitions and divestitures expedited growth in our adjusted earnings per share and cash flow. The majority of our markets rebounded to prior year sales levels in the fourth quarter, with noticeably strong growth within our Class-8 truck, motorhomes, truck accessories, and consumer packaging markets. In addition, we were awarded new sales opportunities with several manufacturers of electric vehicles. We continue to believe that the rapidly growing electric vehicle mar...