Business
Uniroyal Global Engineered Products, Inc. Reports Net Sales of $22,498,456 and a Net Loss Available to Common Shareholders of $477,553 or a Loss of $0.03 per Diluted Share for the Third Quarter Ended October 1, 2017
Uniroyal Global Engineered Products, Inc. Reports Net Sales of $22,498,456 and a Net Loss Available to Common Shareholders of $477,553 or a Loss of $0.03 per Diluted Share for the Third Quarter Ended October 1, 2017.
About this update from Uniroyal Global Engineered Products, Inc.
[{"type":"text","content":"\n\n SARASOTA, Fla., Nov. 06, 2017 (GLOBE NEWSWIRE) -- Uniroyal Global Engineered Products, Inc. (OTCQB:UNIR) (the “Company”) today reported its financial results for the third fiscal quarter ended October 1, 2017.\n Overview “Overall, this was a very tough quarter from a sales perspective. The reported decline in Net Sales is isolated to our North American operations as we continue to see gains in our European operations.  The North American operations struggled with sharply lower volume, particularly in the automotive sector as volume expectations from certain platforms were not achieved. US consumer preferences are switching to light trucks, SUVs and crossovers which are not significant drivers of our revenue. As a result, many of the US automotive manufacturers idled production lines or entire assembly plants for multiple weeks to reduce inventories. We have taken corrective action to “right size” the costs associated with the lower volumes as well as eliminate certain administrative expenses,” noted Howard R. Curd, Chairman and Chief Executive Officer. “Operating margins continue to be negatively impacted by rising raw material costs at both our US and European operations. To partially offset these increases, we recently announced price increases in several of our markets.” Net Sales Three Months Ended October 1, 2017 Net Sales for the third fiscal quarter were $22,498,456 versus $24,675,521 for the previous year which was a decline of 8.8%.  The effect of currency fluctuation on the quarterly revenue was minimal as the stronger Euro benefited quarterly sales and offset the small negative effect of the translated British Pound Sterling, resulting in a positive effect of $260,000 or 1.1% on Net Sales. Global automotive sales (66% of total Net Sales) declined 9.6% versus the previous year as gains in the European operations partially offset a sharp decline in the North American operations. Volume expectations in North American platforms were either cut back or delayed.  Improved volume is not expected to be achieved until early fiscal 2018 as the industry rationalizes inventories. Net Sales for the Industrial sector (34% of total Net Sales) declined 7.3% versus last year as North American volume slowed appreciably late in the quarter due in part to disruptions as ...