Patrick Industries Inc., a supplier/distributor of materials to the RV and manufactured housing industries, reports its third-quarter net earnings increased despite a 13% decline in sales revenue.
The Nasdaq Stock Market-listed company earned $228,000 during the three months ended Sept. 30, compared with $153,000 earned in the same portion of 2002.
Patrick’s sales revenue declined in the July-through-September period to $70.3 million, compared with $80.8 million a year earlier, because manufactured housing shipments continued to decline, said Keith Kankel, Patrick’s former CFO who was named president and CEO last week.
Manufactured housing shipments in August and the first eight months of this year were down 25% when compared with the same portion of 2002, Kankel said.
Manufactured housing industry customers accounted for 41% of Patrick’s sales revenue in the first nine months of this year, while RV industry customers accounted for 32%, Kankel added. A variety of other industrial and consumer markets accounted for the remainder of Patrick’s business.
Because of losses incurred earlier this year, Patrick was in the red $647,000 after the first nine months of the year, compared with a $1.06 million profit earned in the same portion of 2002. The company’s sales revenue also was down 13% in the first nine months of this year to $208.5 million.
“As we brace for the anticipated seasonal decline in sales volume in the fourth quarter, we continue to focus on strategic growth opportunities and diversification efforts, as well as new product introductions and capital improvements,” Kankel said. “This company is well positioned to take advantage of any upturn in the markets we serve.”