Shares of VOXX International Corp. (NASDAQ: VOXX), an international distributor in the accessory, mobile and consumer electronics industries, are seeing a huge rally in trading today after the company reported its third-quarter financial results.
For the third quarter ended November 30, 2012, VOXX reported net sales of $243 million, representing an increase of 17.5% over the same period in the previous year. The year-over-year increase in net sales was driven by the Hirschmann acquisition and increases in mobile OEM and in accessories.
The company’s gross margin for the quarter was 28.8%, down 10 basis points over the same period in the previous year. The decline in gross margin was due to unfavorable swings between hedged costs and related sales as well as lower sales of higher margin car speakers at Audiovox Germany.
VOXX reported third-quarter operating income of $19.8 million, compared to operating income of $18.4 million reported for the same period in the previous year. Net income for the quarter was $13.2 million, or $0.56 per share, compared to $8.9 million, or $0.38 per share reported for the same period in the previous year.
Pat Lavelle, President and CEO of VOXX International, said that from a bottom-line perspective, the company had one of the best quarters in its history and its business performed well, especially considering continued weakness in the international markets. Lavelle further said that the company’s domestic operations met plan with sales reaching targets and gross margins slightly ahead of internal projections. Lavelle added that with modest improvements in Germany and China, coupled with continued strength in the core domestic markets, the company should be well positioned to improve its performance next year.
VOXX shares rose to an intra-day high of $9.47 today before paring some of the gains. At last check, the stock was trading 18.14% higher at $9.25 on above average volume of 887,629.
Recent Comments