LOS ANGELES – Motorcar Parts of America (MPA) has reported results for its fiscal 2014 third quarter and nine-month period ended Dec. 31, 2013 – reflecting continued growth of its rotating electrical business and the second full quarter of contributions from the company’s wheel hub product line.
Net sales for the fiscal 2014 third quarter increased 29.4 percent to $65.6 million from $50.7 million for the same period last year. Net income for the quarter was $1.1 million, or 8 cents per diluted share, compared with net income of $935,000, or 6 cents per diluted share a year ago – reflecting the impact of mark-to-market warrant expense due to stock appreciation and the write-off of prior deferred loan origination fees associated with the previous loan.
Excluding certain costs and non-cash expenses, adjusted net income for the fiscal 2014 third quarter was $5.9 million, or 39 cents per diluted share, compared with $2.7 million, or 18 cents per diluted share, for the same period a year earlier.
Gross profit for the fiscal 2014 third quarter was $21.9 million compared with $16.3 million a year earlier. Gross profit as a percentage of sales was 33.4 percent compared with 32.2 percent a year earlier. Gross profit in the current fiscal year benefited from enhanced utilization of our facilities, due in part to higher production and purchasing volume.
Net sales for the nine months increased 17.3 percent to $182 million from $155.1 million a year ago. Net income for the fiscal 2014 nine-month period was $104.3 million, or $7.04 per diluted share, compared with a net loss of $17.9 million, or $1.25 per share, a year ago. Results for the fiscal 2014 nine-month period reflect a nonrecurring gain on the deconsolidation of assets and liabilities of the company’s discontinued subsidiaries realized in the first fiscal quarter of 2014.
Excluding certain costs and non-cash expenses, adjusted net income for the nine-month period was $14.5 million, or 98 cents per diluted share, compared with $10.1 million, or 71 cents per diluted share, for the same period a year earlier.
"Results for the quarter benefitted from continued strong industry dynamics within the non-discretionary automotive aftermarket sector. We anticipate this momentum will continue, supported by an aging vehicle population and recent extreme weather conditions throughout most of the nation. I appreciate our team’s efforts in accomplishing industry-leading customer service levels," said Selwyn Joffe, chairman, president and CEO of Motorcar Parts of America.
