Spartan Motors Inc. reported record performance in its second quarter with a 28.8% year-over-year increase in revenues and a 59.8% rise in earnings despite “challenges” in several of its core markets, including recreational vehicle.
The Charlotte, Mich.-based firm, parent of Spartan Chassis Inc., posted net income of $10.4 million compared with $6.5 million a year ago while sales grew to $196.5 million from $152.6 million.
“The company posted a solid second quarter, particularly given a shift in military business from the second quarter to the third quarter, and the sharp decline in the RV market,” said John Sztykiel, president and CEO of Spartan Motors. “This quarter is another illustration of how our market diversification and flexible manufacturing model has enabled us to grow sales, while controlling our cost structure in tough economic times. Our multiple markets – emergency-rescue, RV and specialty vehicles, as well as our service, parts and accessories business –are providing us with growth and enabling us to better manage risk.”
For the six months, ended June 30, Spartan’s sales increased 55.9% to $460.6 million from $295.5 million in the year prior while net income grew 83.6% to $25.2 million compared with $13.7 million.
Sales at Spartan Chassis, the company’s largest subsidiary and operating unit, increased 31.6% to $180.8 million in the second quarter and earnings improved 53.9% despite a dropoff in the RV market. Spartan said chassis sales to the Class A motorhome sector decreased 50% to $30 million.