Business
Power Solutions International Announces Fourth Quarter and Full Year 2023 Financial Results
Net Income $8.4 million, EPS $0.36 for the Quarter Full Year Net Income $26.3 million, an increase of 133%, EPS $1.15 Full Year Operating Cash Flows $70.5
About this update from Power Solutions International, Inc.
[{"type":"text","content":"Net Income $8.4 million, EPS $0.36 for the Quarter Full Year Net Income $26.3 million, an increase of 133%, EPS $1.15 Full Year Operating Cash Flows $70.5 million, an increase of $79.4 million Debt decreased $65.8 million year-to-date, $15.1 million for the Quarter WOOD DALE, Ill., March 14, 2024 (GLOBE NEWSWIRE) -- Power Solutions International, Inc. (the “Company” or “PSI”) (OTC Pink: PSIX), a leader in the design, engineering and manufacture of emission-certified engines and power systems, announced fourth quarter and full year 2023 financial results. Fourth Quarter 2023 Results Sales for the fourth quarter of 2023 were $104.8 million, a decrease of $32.3 million, or 24%, compared to the fourth quarter of 2022, as a result of lower sales of $29.5 million and $16.8 million within the industrial and transportation end markets, respectively, partially offset by an increase of $14.0 million in the power systems end market. Decreased industrial end market sales are primarily due to decreases in demand for products used within the material handling and arbor care markets, as well as being directly affected by the enforcement of the Uyghur Forced Labor Prevention Act (“UFLPA”) which limited the Company’s ability to import certain raw materials at the end of 2023. The decreased sales within the transportation end market were primarily attributable to lower sales in the school bus market as customer products have evolved and new compliance and regulatory requirements have changed engine product offerings. Higher power systems end market sales are primarily due to increased demand for products across various applications, with the largest increases attributable to products used within the demand response market as well as traditional oil and gas products. Gross profit decreased by $1.9 million, or 6%, during the fourth quarter of 2023 as compared to the same period in the prior year. Gross margin in the fourth quarter of 2023 was 26.3%, an increase of 4.8% compared to 21.5% in the same period last year, primarily due to improved mix, pricing actions and freight cost management. For both the fourth quarter of 2023 and 2022, warranty costs were $1.0 million. A majority of the warranty activity is attributable to products sold within the transportation end market in prior years. Selling, general and administrative expenses decreased durin...