Business
Exco Technologies Limited - Second Quarter ended March 31, 2010 and Quarterly Dividend Declared
Exco Technologies Limited - Second Quarter ended March 31, 2010 and Quarterly Dividend Declared
About this update from Exco Technologies Limited
[{"type":"text","content":"\n\n\n\n Apr. 28, 2010 (Canada NewsWire Group) -- Exco Technologies Limited (TSX-XTC) today announced results for its second quarter ended March 31, 2010. In addition, the Company announced a $0.02 dividend per share which will be paid on June 30, 2010 to shareholders of record on June 16, 2010. The dividend is an "eligible dividend" in accordance with the Income Tax Act of Canada.\n\n\n >\n\n\nConsolidated sales for the second quarter ended March 31, 2010 were $39.3 million - an increase of $6.1 million or more than 18% over last year. Sales in the quarter, although up significantly, were eroded by a rapidly devaluing US dollar which lost 20 cents against the Canadian dollar ($1.05 this quarter compared to $1.25 last year). This decreased the quarter's sales by approximately $4.7 million as the majority of Exco's consolidated sales are denominated in US dollars. Sales in the Automotive Solutions segment in the second quarter were $14.9 million - an increase of over 67% or $6.0 million from the same quarter last year. Sales volumes at Polytech and Neocon have improved significantly from the recessionary levels experienced in mid 2009. Polytech is still below pre-2009 sales levels; however, Neocon has been surpassing its traditional pre-2009 sales levels. The resumption of Honda seat cover production at Polydesign has driven sales up by almost 33% in the current quarter over last year. The Casting and Extrusion segment reported sales of $24.4 million - a constant sales level compared to the same quarter last year. In the extrusion tooling businesses and Castool, sales increased by over 3% in the current quarter while sales in the large mould group were slightly down.\nNet income for the second quarter was $2.2 million or $0.05 per share compared to a net loss of $14.6 million or $0.36 per share in the same quarter last year. The improvement in the current year's earnings was led by the Automotive Solutions segment despite a weak recovery in the European market. This segment reported income of $1.2 million in the second quarter compared to losses of $14.6 million last year. The Casting and Extrusion segment reported higher income in the second quarter of $3 million compared to income of $168 thousand in the same quarter last year.\nGross margin in the second quarter increased by 10.8 percentage points to 28.8% from the p...