Remy International, Inc., a worldwide manufacturer, remanufacturer and distributor of heavy duty systems, starters and alternators, locomotive products and hybrid technology, announced its operating results for the second quarter ended June 30, 2008.
Sales for the quarter were $297.7 million compared to $290.0 million a year earlier, a 3% increase. Earnings before interest, taxes, depreciation, amortization and restructuring charges (EBITDAR) for the quarter increased 123% to $27 million from $12.1 in the second quarter of 2007.
Gross profit less S, G&A increased 221% to $21.5 million in the second quarter of 2008 from $6.7 million in second quarter of 2007. The net profit in the quarter was $2.9 million, a substantial improvement over 2007's second quarter's net loss of $29.2 million.
"Our second quarter results reflect the benefits of sales mix, continued cost control and savings resulting from our Global Savings Program initiatives. These results were achieved in spite of dramatic vehicle production declines in the U.S. market, which we were able to offset with stronger Hybrid and Heavy Duty market sales," states John Weber, Remy International President and Chief Executive Officer.
ADVERTISEMENT
He continues, "while we are pleased with EBITDAR growth and profit improvement in operations, we face challenging market conditions and earnings pressure for the rest of 2008 due to continued high raw material costs, unfavorable currency rates and the downturn in North American automotive sales."