First Quarter 2008 Earnings
TORONTO - May 8, 2008:
Automodular Corporation ("Automodular") reports net earnings of $0.7 million or $0.03 per share for the three
months ended March 31, 2008 compared to earnings of $1.5 million or $0.07 per share in the same period in 2007.
While first quarter 2008 results were lower than those in the same quarter in 2007, they are ahead of our
expectations. The year over year decline was expected and is attributable to our Oshawa-area operations. Oshawa
truck operations were negatively impacted by the reduction from three shifts to two combined with the effect of an
ongoing GM supplier strike which shut down operations for the month of March. Earnings from Automodular's
Oshawa car operations were impacted by the elimination of certain programs.
The first quarter results are summarized below (all numbers in '000 except earnings per share):
| |
2008 |
2007 |
| Sales |
$ 20,810 |
$ 27,721 |
| Net earnings |
$ 671 |
$ 1,477 |
| Earnings per share |
$ 0.03 |
$ 0.07 |
| Shares outstanding |
25,949 |
22,049 |
Automodular expects 2008 results to improve as the Ford Flex vehicle in Oakville reaches full production levels and
the third shift of production is added as scheduled in the third quarter of this year. On balance, Automodular expects
2008 results from ongoing operations to be comparable to 2007 with an improvement expected in 2009.
Automodular is a supplier of sub-assembly, sequencing, transportation and logistics services to four OEM plants in
Ontario and Ohio. The Company has seven operating facilities and employs approximately 900 people.
For further information, contact:
Christopher Nutt
Vice President, Finance
Automodular Corporation
(416) 861-0662 x 223
invest@automodular.com
This press release contains forward-looking statements that may 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 www.sedar.com 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.
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