Clarion Reports Sales Growth of Over 30% for Third Quarter
GRAND RAPIDS, Mich., Nov. 10, 2003 -- Clarion Technologies, Inc. (BULLETIN BOARD: CLAR) today announced financial results for the fiscal period ended September 27, 2003.
Clarion's 2003 sales for the period were $26.1 million versus $19.9 million in 2002, a 31% increase in revenues. Year-to-date 2003 revenues for the nine-month period are up over 21% ($13.0 million) during the same period in 2002. Clarion's net income from continuing operations for this period in 2003 was $424,000 versus a net loss of $1,888,000 in 2002. YTD Net Income is $1,780,000 versus a net loss of $4,694,000 during the same period in 2002. These improvements in revenue and income were attributable to significant sales growth and continued focus on operational performance and execution.
Clarion Technologies' President, Bill Beckman, commented, "Our efforts to grow the business profitably are generating favorable results. We are pleased with our progress and proud of three consecutive quarters of positive bottom line results. Were it not for earlier incurred, unanticipated costs associated with a new automotive launch, which is now in full production, our results would have been even better. We will continue to increase our revenues and deliver return for all of our stakeholders."
Clarion Technologies, Inc. operates five manufacturing facilities in Michigan and South Carolina with approximately 155 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 Edmund Walsh 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)
Third Quarter Ended Nine Months Ended
September 27, September 28, September 27, September 28,
2003 2002 2003 2002
Net sales $26,136 $19,993 $73,800 $60,855
Cost of sales 22,867 17,768 63,754 52,381
Gross profit 3,269 2,225 10,046 8,474
Operating expenses:
Selling, general
and administrative
expenses 1,756 1,821 5,424 5,739
Impairment and
other nonrecurring
credits - (318) (207) (770)
1,756 1,503 5,217 4,969
Operating income 1,513 722 4,829 3,505
Interest expense (1,041) (2,633) (3,023) (8,247)
Stock issued for
services rendered (373) - (373) -
Gain on extinguishment
of debt 332 - 332 -
Other income
(expense), net (7) 23 15 48
Income (loss) from
continuing operations
before income tax
provision 424 (1,888) 1,780 (4,694)
Income tax provision - - - -
Income (loss) from
continuing
operations 424 (1,888) 1,780 (4,694)
Discontinued
operations:
Income from
discontinued
operations
(including loss
on disposal
of $97) - 32 - 208
Net income (loss) $424 $(1,856) $1,780 $(4,486)