Bloomfield Hills, Mich.-based TriMas Corp. reported record second quarter net sales of $338.4 million, an increase of 17.5% as compared to $288.1 million in second quarter 2011.
During second quarter, ended June 30, sales increased in five of the six reportable segments, primarily as a result of additional sales from bolt-on acquisitions, market share gains, new product introductions and geographic expansion as compared to second quarter 2011. TriMas is parent to RV industry supplier Cequent Performance Products.
“Our record second quarter results demonstrate we are successfully executing on our growth strategies in the midst of an uncertain global economy,” said David Wathen, TriMas president and CEO. “We achieved sales growth of 17.5% during the second quarter, resulting from the execution of our strategic initiatives including bolt-on acquisitions, product innovation, market share gains and geographic expansion.
“With pressure in Europe, as well as anticipated slower global economic growth rates, we identify the bright spots where we believe we can capture growth for our businesses. We then execute swiftly and effectively on our new product and geographic expansion programs targeting these areas. In parallel, we must be cost effective to achieve compelling returns on our investments, continue to remain competitive and fund reinvestment.”
The company reported operating profit of $43.2 million in the second quarter. Excluding special items related to footprint consolidation and relocation projects within the Cequent segments, second-quarter operating profit would have been $46.2 million, as compared to $40.8 million during second quarter 2011, primarily as a result of higher sales levels. Second-quarter operating profit margin was impacted by unfavorable product mix, including the effect of the decline in European product sales in the packaging segment, lower margins associated with the recent acquisitions in the packaging segment and higher costs associated with our global growth initiatives in the energy segment. The company continued to generate significant savings from capital investments, productivity projects and lean initiatives, which funded investment in growth initiatives and offset economic cost increases.
TriMas also announced an agreement to acquire CIFAL Industrial e Comercial Ltd., a manufacturer and supplier of specialty fasteners and stud bolts for the oil and gas industry, located in Sao Paulo, Brazil, along with the acquisition of Trail Com Ltd., a market leading distributor of towing accessories and trailer components in New Zealand and Australia.
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