Keystone Automotive Operations, Inc. announced financial results for its fiscal third quarter 2008, which ended Sept. 27, 2008. Highlights include:
• Net sales for the third quarter 2008 were $136.3 million, a decrease of $18.0 million, or 11.7 percent, compared to $154. 3 million for the same period in 2007. The decrease in sales was driven by a decrease in consumer spending on discretionary items, general economic uncertainty, a year-over-year decline in truck and SUV sales and the decline of available credit in the marketplace.
• Gross profit for the third quarter was $42.0 million versus $46.5 million for the same period in the prior year, a decrease of $4.5 million or 9.7 percent.
• Operating income was $1.0 million, a decrease of $4.5 million compared to $5.5 million for the same period in the prior year. The decrease was attributable to lower sales, which was partially offset by an improvement in gross margin.
• Keystone Automotive Operations recorded a net loss of $5.5 million in the third quarter ended September 27, 2008 versus a net loss of $3.0 million for the same period in 2007. The increased net loss was primarily attributable to a $4.5 million decrease in gross profit offset by a $1.4 million decrease in interest expense and a $0.6 million increase in income tax benefit.
"Our third quarter results show that we are operating in very difficult market conditions. However, we think weaker competitors are suffering, and we have the financial strength to weather the economic downturn while seizing opportunities to gain market share," said Ed Orzetti, chief executive officer of Keystone Automotive Operations. "We continue to maintain our focus on delivering outstanding customer service, providing a broad and deep investment in inventory and ensuring timely delivery.”
For more information, visit www.ekeystone.com.
