Automodular Corporation

Automodular Corporation

August 09, 2007 13:56 ET

Automodular Corporation: Second Quarter 2007 Results

TORONTO, ONTARIO--(Marketwire - Aug. 9, 2007) - Automodular Corporation ("Automodular" or "the Company")(TSX:AM) reports net earnings of $3.7 million or $0.17 per share for the six months ended June 30, 2007 compared to $1.2 million or $0.05 per share in the same period in 2006. Net earnings for the quarter ended June 30, 2007 were $2.2 million or $0.10 per share compared to $0.6 million or $0.03 per share in the same period in 2006.

In the current year, operating results improved as a result of earnings generated by new program launches in Oakville and Oshawa that reached commercial production levels in Q4 2006 and Q1 2007. The current quarter includes a $0.6 million charge related to closeout costs incurred as a result of the closure of the Company's Lansing, Michigan-based operations. The 2005 year included a similar charge of $0.3 million (net of gains realized on disposal of capital assets of $0.5 million) relating to the closure of Automodular's Pontiac, Michigan-based operations.

The first half results are summarized below (all figures in '000s except per share):

Three months ended June 30 Six months ended June 30
-------------------------- ------------------------
2007 2006 2007 2006
------- ------- ------- -------

Sales $ 27,050 $ 17,133 $ 54,771 $ 35,023
Net earnings $ 2,222 $ 591 $ 3,699 $ 1,167
Earnings per share(i) $ 0.10 $ 0.03 $ 0.17 $ 0.05
Fully diluted shares
outstanding 22,049 22,049 22,049 22,049
(i)(basic and fully diluted)

The outlook for the balance of 2007 remains positive barring any major slowdown in automotive markets.

Automodular Corporation is a supplier of sub-assembly, sequencing, transportation and logistics services to five Original Equipment Manufacturer plants in Ontario and Ohio. The Company has five operating facilities and employs over 900 people.

This press release contains forward-looking statements that involve a number of risks and uncertainties. Among the important factors that could cause actual results to differ materially from those indicated by such forward-looking statements are market and general economic conditions and the risk factors detailed from time to time in the Company's periodic reports filed with the Canadian securities regulatory authorities and on SEDAR at The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contact Information

  • Automodular Corporation
    Christopher Nutt
    Vice President, Finance
    (416) 861-0662 x 223