Business
Virco Reports $0.60 EPS for Second Quarter Driven by 40% Increase in Revenue as U.S. Factories Provide Timely Support for School Reopenings
HIGHLIGHTS: SIGNIFICANT INCREASE IN REVENUE RESULTS IN HIGHER GROSS MARGIN, IMPROVED OPERATING LEVERAGE, AND INCREASED PROFITABILITYBACKLOG CONTINUES TO
About this update from Virco Manufacturing Corporation
[{"type":"text","content":"HIGHLIGHTS: SIGNIFICANT INCREASE IN REVENUE RESULTS IN HIGHER GROSS MARGIN, IMPROVED OPERATING LEVERAGE, AND INCREASED PROFITABILITYBACKLOG CONTINUES TO PROVIDE STRONG VISIBILITY ON CONTINUED YEAR-OVER-YEAR REVENUE GROWTH AND HIGHER EARNINGS TORRANCE, Calif., Sept. 13, 2022 (GLOBE NEWSWIRE) -- Virco Mfg. Corporation (Nasdaq: VIRC), the largest manufacturer and supplier of movable furniture and equipment for educational environments in the United States, today reported financial results for the fiscal quarter ended July 31, 2022 (second quarter of fiscal 2023). Net sales were $82.8 million for the second quarter of fiscal 2023, an increase of $23.8 million or 40.3% from $59.0 million for the same period of the prior fiscal year. Net income was $9.7 million, or $0.60 per diluted share for the second quarter of fiscal 2023, an increase of $5.9 million or 157% from net income of $3.8 million, or $0.24 per diluted share, for the same period of the prior fiscal year. The Company delivered approximately $21 million more in the months of June and July compared to the same period in the prior year. Subsequent to July 31, 2022, the Company delivered nearly $17 million more in August 2022 compared to the prior year, continuing its ability to service the traditional summer delivery cycle despite the current year supply chain challenges. At the end of July, the Company’s preferred measure of overall business activity—Actual Year-to-Date Shipments plus the unshipped backlog (“Shipments plus Backlog”)— stood at $194.7 million, compared to $154.6 million on the same date in the prior year. The $40.1 million increase represents a meaningfully higher level of orders and factory output that management believes will return the Company to profitability on an annual basis. Robert Virtue, Chairman and CEO of Virco, said, “Our second quarter results reflect the positive impact of the actions we took entering this year to improve our ability to manage through the challenges of supply chain disruption and increases in raw material costs, while capitalizing on the strong increase we have seen in demand as more schools shift back to the reliability we offer through our vertically integrated, U.S.-based production and distribution facilities. In June and July, we increased shipments by more than $21 million over the prior year, largely due to our successful...