Kawasaki reports huge increase in net income
In the first six months of its fiscal year, Kawasaki Heavy Industries (KHI) has recorded a net income increase that’s in the triple digits.
KHI reported its net income for the six-month period ending Sept. 30 was 11.4 billion yen ($96.6 million), up 118 percent compared to the same period a year ago.
Not surprisingly, net sales also increased. KHI reported its sixth-month sales were 645.8 billion yen ($5.4 billion), up 9 percent over the same period last year.
For its consumer products and machinery division, which includes powersports products, sales were up 14 percent to 189.9 billion yen ($1.6 billion).
Kawasaki officials told dealers at its Anaheim, Calif., show in September that they were expecting sales growth of their powersports products to be five times the industry average, or about 15 percent. That number would be in line with what Kawasaki saw in 2005, company officials said.
In its six-month report, KHI also reported net sales growth in aerospace (25 percent) and gas turbines and machinery (17 percent) and decreases in shipbuilding (-22 percent) and plant and infrastructure engineering (-24 percent.)
KHI also said its North American sales are increasing. For the six-month period, sales stand at 155 billion yen ($1.3 billion), a 23 percent boost over the same time period in 2005. Sales, however, have fallen in Asia by nearly 9 percent and only increased slightly in Europe.
Looking ahead, KHI forecast year-end sales of 1.43 trillion yen ($12.1 billion) and a net income of 26 billion yen ($220 million).
Arkona Reports Revenue Increase in second quarter
ARKONA, Inc., which supplies business management software to powersports and automotive dealerships, reported a 14 percent increase in revenue for its second quarter over the previous year.
The company said its gross profit rose slightly to $1.5 million from $1.4 million for its fiscal second quarter, which ended Sept. 30, compared to the previous year quarter.
The revenue and gross profit increases came as a result of the company’s dealer management software suite gaining market acceptance, the company reported.
For the six months ending Sept. 30, total revenues increased to $6.1 million compared to $5.28 million for the same time period for 2005. Gross profit increased 17 percent to $2.52 million.
Dorel reports increased revenue, decreased earnings
Dorel Industries, Inc., the company that owns Schwinn Motor Sports, reported increase revenue but decreased net earnings for its third quarter that ended Sept. 30.
Dorel, a global consumer products company, announced third-quarter revenue of $436.3 million, which is 3.1 percent higher than the prior year period. However, its net earnings dropped about 2 percent to $25.1 million.
The Canadian company saw an almost 8 percent increase in revenue for its recreational/leisure department, which includes Schwinn scooters. Growing scooter sales were one of the reasons the company cited for its increased revenue, which rose to $76.4 million.
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Copyright 2006 Powersports Business