NEW ALBANY, Ohio, Oct. 26, 2011 /PRNewswire/ -- Commercial Vehicle
Group, Inc. (Nasdaq: CVGI) today reported revenues of $216.9 million for the third quarter of 2011, up
43.7% compared to $151.0 million for
the prior-year period. Operating income for the third quarter
was $13.5 million compared to
$5.1 million for the third quarter of
2010. Net income was $7.4
million for the third quarter, or $0.26 per diluted share, compared to $1.1 million, or $0.04 per diluted share in the prior-year
quarter. Diluted shares outstanding for the quarter were 28.2
million compared to 28.1 million for the prior-year period.
"Our third quarter marks our highest revenue and operating
income levels since the fourth quarter of 2006 and our tenth
consecutive quarter of operating income improvement, when excluding
impairment and restructuring charges. We are very pleased
with our performance and the improvements we made to address
industry wide cost increases," said Mervin
Dunn, President and Chief Executive Officer of Commercial
Vehicle Group. "With our strong financial structure and
liquidity position, we remain heavily focused on seeking
opportunities that fit our long-term strategic goals of growth and
diversification," added Mr. Dunn.
The Company did not have any outstanding borrowings under its
asset-based revolver at September 30,
2011 and, as a result, was not subject to any financial
maintenance covenants. The Company does not expect to trigger
the requirement to comply with financial maintenance covenants in
2011. In addition, the Company had approximately $85.3 million of cash on its balance sheet at
September 30, 2011 with an additional
$36.8 million of availability under
its asset-based revolver.
"Sequentially, when compared to the second quarter of this year,
our revenues increased $10.1 million
and operating income increased $2.2
million, which represents a 22% contribution margin.
We are very pleased with our results considering the
incremental costs from recent industry ramp-ups and costs related
to our expansion plans in Mexico
and China," said Chad M. Utrup, Chief Financial Officer of
Commercial Vehicle Group. "Not only have we seen continued
improvement in our revenues and operating earnings, our diluted
earnings per share of 26 cents marks
the highest reported level since the fourth quarter of 2006," added
Mr. Utrup.
The Company estimates 2011 North American Class 8 truck
production levels in the range of 250 thousand to 255 thousand
units.
A conference call to discuss the contents of this press release
is scheduled for Thursday, October 27,
2011, at 10:00 a.m. ET.
To participate, dial (888) 680-0892 using access code
44193366. You can pre-register for the conference call and
receive your pin number at:
https://www.theconferencingservice.com/prereg/key.process?key=P37397BRU
This call is being webcast by Thomson/CCBN and can be accessed
at Commercial Vehicle Group's Web site at www.cvgrp.com.
A replay of the conference call will be available for a period
of two weeks following the call. To access the replay, dial
(888) 286-8010 using access code 85364481.
About Commercial Vehicle Group, Inc.
Commercial Vehicle Group is a leading supplier of fully
integrated system solutions for the global commercial vehicle
market, including the heavy-duty truck market, the construction and
agriculture market and the specialty and military transportation
markets. The Company's products include suspension seat
systems, interior trim systems, such as instrument and door panels,
headliners, cabinetry, molded products and floor systems, cab
structures and components, mirrors, wiper systems, electronic
wiring harness assemblies and controls and switches specifically
designed for applications in commercial vehicle cabs. The
Company is headquartered in New Albany,
OH with operations throughout North America, Europe and Asia. Information about the Company and
its products is available on the internet at www.cvgrp.com.
Forward-Looking Statements
This press release contains forward-looking statements that are
subject to risks and uncertainties. These statements often
include words such as "believe," "expect," "anticipate," "intend,"
"plan," "estimate," or similar expressions. In particular,
this press release may contain forward-looking statements about
Company expectations for future periods with respect to the
Company's financial covenant compliance, improving operating
efficiencies, the Company's strategic goals, North American class 8
truck production levels, the Company's financial position or other
financial information. These statements are based on certain
assumptions that the Company has made in light of its experience in
the industry as well as its perspective on historical trends,
current conditions, expected future developments and other factors
it believes are appropriate under the circumstances. Actual
results may differ materially from the anticipated results because
of certain risks and uncertainties, including but not limited to:
(i) general economic or business conditions affecting the markets
in which the Company serves; (ii) the Company's ability to develop
or successfully introduce new products; (iii) risks associated with
conducting business in foreign countries and currencies; (iv)
increased competition in the heavy-duty truck market; (v) the
impact of changes in governmental regulations on the Company's
customers or on its business; (vi) the loss of business from a
major customer or the discontinuation of particular commercial
vehicle platforms; (vii) the Company's ability to obtain future
financing due to changes in the lending markets or its financial
position; and (viii) various other risks as outlined under the
heading "Risk Factors" in the Company's Annual Report on Form 10-K
for fiscal year ending December 31,
2010 and under the heading "Risk Factors" in the Company's
Quarterly Report on Form 10-Q for the quarter ended March 31, 2011. There can be no assurance
that statements made in this press release relating to future
events will be achieved. The Company undertakes no obligation
to update or revise forward-looking statements to reflect changed
assumptions, the occurrence of unanticipated events or changes to
future operating results over time. All subsequent written
and oral forward-looking statements attributable to the Company or
persons acting on behalf of the Company are expressly qualified in
their entirety by such cautionary statements.
COMMERCIAL
VEHICLE GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS
(Amounts in thousands, except
per share amounts)
|
|
|
|
|
|
|
|
|
|
Three Months
Ended September 30,
|
|
Nine Months
Ended September 30,
|
|
|
|
2011
|
|
2010
|
|
2011
|
|
2010
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
REVENUES
|
|
$
216,909
|
|
$
150,950
|
|
$
606,194
|
|
$
439,706
|
|
|
|
|
|
|
|
|
|
|
|
COST OF REVENUES
|
|
187,087
|
|
131,086
|
|
523,980
|
|
385,194
|
|
|
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
29,822
|
|
19,864
|
|
82,214
|
|
54,512
|
|
|
|
|
|
|
|
|
|
|
|
SELLING, GENERAL AND
ADMINISTRATIVE EXPENSES
|
|
16,210
|
|
14,533
|
|
48,427
|
|
41,412
|
|
|
|
|
|
|
|
|
|
|
|
AMORTIZATION EXPENSE
|
|
65
|
|
60
|
|
255
|
|
180
|
|
|
|
|
|
|
|
|
|
|
|
RESTRUCTURING COSTS
|
|
-
|
|
162
|
|
542
|
|
1,572
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Income
|
|
13,547
|
|
5,109
|
|
32,990
|
|
11,348
|
|
|
|
|
|
|
|
|
|
|
|
OTHER INCOME
|
|
(13)
|
|
(1,061)
|
|
(10)
|
|
(3,801)
|
|
|
|
|
|
|
|
|
|
|
|
INTEREST EXPENSE
|
|
5,345
|
|
4,418
|
|
14,391
|
|
12,839
|
|
|
|
|
|
|
|
|
|
|
|
LOSS ON EARLY EXTINGUISHMENT OF
DEBT
|
|
-
|
|
-
|
|
7,448
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
Income Before
Provision (Benefit) for Income Taxes
|
|
8,215
|
|
1,752
|
|
11,161
|
|
2,310
|
|
|
|
|
|
|
|
|
|
|
|
PROVISION (BENEFIT ) FOR INCOME
TAXES
|
|
839
|
|
610
|
|
2,677
|
|
(201)
|
|
|
|
|
|
|
|
|
|
|
|
NET INCOME
|
|
$
7,376
|
|
$
1,142
|
|
$
8,484
|
|
$
2,511
|
|
|
|
|
|
|
|
|
|
|
|
INCOME PER COMMON
SHARE:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.27
|
|
$
0.04
|
|
$
0.31
|
|
$
0.10
|
|
Diluted
|
|
$
0.26
|
|
$
0.04
|
|
$
0.30
|
|
$
0.09
|
|
|
|
|
|
|
|
|
|
|
|
WEIGHTED AVERAGE SHARES
OUTSTANDING:
|
|
|
|
|
|
|
|
|
|
Basic
|
|
27,768
|
|
27,340
|
|
27,767
|
|
25,770
|
|
Diluted
|
|
28,152
|
|
28,087
|
|
28,187
|
|
26,584
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
COMMERCIAL
VEHICLE GROUP, INC. AND SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE
SHEETS
(Amounts in thousands, except
share and per share amounts)
|
|
|
|
|
|
|
|
September
30,
|
|
December
31,
|
|
|
2011
|
|
2010
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
ASSETS
|
|
CURRENT ASSETS:
|
|
|
|
|
Cash
|
$
85,318
|
|
$
42,591
|
|
Accounts
receivable, net
|
138,007
|
|
91,101
|
|
Inventories,
net
|
71,784
|
|
66,622
|
|
Other current
assets
|
8,989
|
|
11,109
|
|
Total current assets
|
304,098
|
|
211,423
|
|
PROPERTY, PLANT AND EQUIPMENT,
net
|
73,021
|
|
59,321
|
|
INTANGIBLE ASSETS,
net
|
7,360
|
|
3,848
|
|
OTHER ASSETS, net
|
16,314
|
|
11,615
|
|
TOTAL ASSETS
|
$
400,793
|
|
$
286,207
|
|
|
|
|
|
|
LIABILITIES
AND STOCKHOLDERS’ INVESTMENT (DEFICIT)
|
|
|
|
|
|
|
CURRENT LIABILITIES:
|
|
|
|
|
Accounts
payable
|
$
77,767
|
|
$
61,216
|
|
Accrued
liabilities
|
40,003
|
|
34,130
|
|
Total current liabilities
|
117,770
|
|
95,346
|
|
LONG-TERM DEBT
|
250,000
|
|
164,987
|
|
PENSION AND OTHER
POST-RETIREMENT BENEFITS
|
21,011
|
|
23,343
|
|
OTHER LONG-TERM
LIABILITIES
|
2,485
|
|
2,643
|
|
Total
liabilities
|
391,266
|
|
286,319
|
|
COMMITMENTS AND
CONTINGENCIES
|
|
|
|
|
STOCKHOLDERS’ INVESTMENT
(DEFICIT):
|
|
|
|
|
Common stock,
$0.01 par value per share; 60,000,000 shares authorized;
|
|
|
|
|
27,767,657 and 27,756,759 shares issued and
outstanding
|
280
|
|
280
|
|
Treasury stock
purchased from employees; 285,208 shares
|
(2,851)
|
|
(2,851)
|
|
Additional paid-in
capital
|
218,043
|
|
215,491
|
|
Retained
loss
|
(184,875)
|
|
(193,359)
|
|
Accumulated other
comprehensive loss
|
(21,070)
|
|
(19,673)
|
|
Total stockholders’ investment (deficit)
|
9,527
|
|
(112)
|
|
TOTAL LIABILITIES AND STOCKHOLDERS' INVESTMENT
(DEFICIT)
|
$
400,793
|
|
$
286,207
|
|
|
|
|
|
|
|
|
|
|
SOURCE Commercial Vehicle Group, Inc.