Methode Electronics (MEI) Posts Q1 EPS of 4c; to Acquire Assets of Injection Molding and Painting Operation
Tweet
Share
E-mailGet Alerts MEI Hot Sheet
Price: $15.69 +2.42%
Revenue Growth %: +1.9%
Financial Fact:
Income before income taxes: 31.1M
Today's EPS Names:
VIVO, BIOX, PMCB, More
Revenue Growth %: +1.9%
Financial Fact:
Income before income taxes: 31.1M
Today's EPS Names:
VIVO, BIOX, PMCB, More
Join SI Premium – FREE
Methode Electronics (NYSE: MEI) reported Q1 GAAP EPS of $0.04, which may not compare with the analyst estimate of $0.10. Revenue for the quarter came in at $110.8 million versus the consensus estimate of $110.3 million.
The Company intends to acquire the assets and operations of an injection molding and painting operation to vertically integrate various paint and laser etch processes that are vital in the production of automotive center consoles. Although the vertical integration will require capital for additional equipment, the overall capital investment will be considerably less than for a similar Greenfield operation. This vertical integration is expected to reduce prime costs, improve quality and mitigate certain supply risks experienced over the past several quarters. Methode intends to close the acquisition in September and complete the integration of the facility by the end of Fiscal 2012.
The Company intends to acquire the assets and operations of an injection molding and painting operation to vertically integrate various paint and laser etch processes that are vital in the production of automotive center consoles. Although the vertical integration will require capital for additional equipment, the overall capital investment will be considerably less than for a similar Greenfield operation. This vertical integration is expected to reduce prime costs, improve quality and mitigate certain supply risks experienced over the past several quarters. Methode intends to close the acquisition in September and complete the integration of the facility by the end of Fiscal 2012.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Methode Electronics (MEI) Tops Q1 EPS by 2c; offers guidance
- John Wiley & Sons, Inc. (WLY) Tops Q1 EPS by 4c ; Offers Guidance
- Ambarella (AMBA) Tops Q2 EPS by 1c; offers guidance
Create E-mail Alert Related Categories
Earnings, Mergers and AcquisitionsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
