Business
Power Solutions International Announces Third Quarter 2023 Financial Results
Gross Profit increased by 16%, EPS were $0.34, an increase of $0.20 for the Quarter, Operating Cash Flows were $35.5 million, an increase of $23.1 million for
About this update from Power Solutions International, Inc.
[{"type":"text","content":"Gross Profit increased by 16%, EPS were $0.34, an increase of $0.20 for the Quarter, Operating Cash Flows were $35.5 million, an increase of $23.1 million for the Quarter, Debt decreased $50.1 million year-to-date, $30.0 million for the Quarter. WOOD DALE, Ill., Nov. 09, 2023 (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, announces third quarter 2023 financial results. Third Quarter 2023 Results Sales for the third quarter of 2023 were $115.9 million, a decrease of $9.0 million, or 7%, compared to the third quarter of 2022, as a result of lower sales of $19.1 million and $7.7 million within the industrial and transportation end markets, respectively, partially offset by an increase of $17.7 million in the power systems end market. 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 enclosure/packages market as well as traditional oil and gas customers. The decreased sales within the transportation end market were primarily attributable to lower sales in school bus products, partially offset by the increase in the medium duty truck market. Decreased industrial end market sales are primarily due to decreases in demand for products used within the material handling markets. Gross profit increased by $3.8 million, or 16%, during the third quarter of 2023 as compared to the same period in the prior year. Gross margin in the third quarter of 2023 was 24.1%, an increase of 4.8 percentage points compared to 19.3% in the same period last year, primarily due to the impact of improved mix, pricing actions, operation and supply chain efficiencies, as well as other items. For both the three months ended September 30, 2023 and 2022, warranty costs were $3.5 million. A majority of the warranty activity is attributable to products sold within the transportation end market in prior years. Research and development expenses during both the three months ended September 30, 2023 and 2022 were $4.8 million. Selling, general and administrative expenses decreased during the third quarter of 2023 by $0.9 million, or 8%, compared to the prior year, primarily due to cost re...