Clarion Reports Net Income of $600,000 for First Quarter 2003 Results
GRAND RAPIDS, Mich., May 9, 2003 -- Clarion Technologies, Inc. (BULLETIN BOARD: CLAR) today announced financial results for the fiscal period ended March 29, 2003.
Clarion's 2003 sales for the period were $22.18 million versus $18.66 million in 2002. Gross profit for the period in 2003 increased to 14.4% of sales versus 12.5% for the same period in 2002. These improvements in revenue and margins were attributable to sales growth from a significant consumer goods customer and continued focus on operational performance. Clarion's net income from continuing operations for this period in 2003 was $600,000 versus a net loss of $1.87 million in 2002.
Clarion Technologies' President, Bill Beckman, commented, "We are pleased to report these results, specifically a positive bottom line. The company has worked extremely hard over the last 18 months to improve our operational performance, realign our capital structure and obtain additional business. With continuing sales growth and operational execution, we believe Clarion is poised for continued improvement.
Clarion Technologies, Inc. operates five manufacturing facilities in Michigan and South Carolina with approximately 145 injection molding machines ranging in size from 55 to 1500 tons of clamping force. The Company's headquarters are located in Grand Rapids, Michigan. Further information about Clarion Technologies can be obtained on the web at www.clariontechnologies.com or by contacting Terri Streelman at 616-233-6680.
With the exception of historical factual information, the statements made in this press release include forward-looking statements. These statements are based upon current expectations and are made pursuant to the safe harbor provisions of the Private Litigation Reform Act of 1995. Such forward-looking statements involve certain known and unknown assumptions, risks and uncertainties that could cause actual results to differ materially from those included in or contemplated by the statements. These assumptions, risks and uncertainties include, but are not limited to, those discussed or indicated in the Company's Annual Report on Form 10-K for the year ended December 28, 2002 and in all documents filed by the Company with the Securities and Exchange Commission. The Company disclaims any obligation to update any forward- looking statements as a result of developments occurring after the date of this press release.
CLARION TECHNOLOGIES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (In thousands, except per share data) First Quarter Ended March 29, 2003 March 30, 2002 Net sales $22,180 $18,657 Cost of sales 18,982 16,316 Gross profit 3,198 2,341 Operating expenses: Selling, general and administrative expenses 1,809 1,996 Impairment and other nonrecurring credits (207) (428) Operating income 1,596 773 Interest expense (1,000) (2,913) Other income, net 6 15 Income (loss) from continuing operations before income tax provision 602 (2,125) Income tax provision - - Income (loss) from continuing operations 602 (2,125) Discontinued operations: Income from discontinued operations - 258 Net income (loss) $602 $(1,867) Net loss from continuing operations attributable to common shareholders $(1,368) $(3,283) Net loss attributable to common shareholders $(1,368) $(3,025) Average shares outstanding (basic and diluted) 44,274 38,936 Loss per share (basic and diluted): Loss from continuing operations $(.03) $(.09) Income from discontinued operations - .01 Net loss $(.03) $(.08)