RACINE, Wis. — Twin Disc, Inc. today reported sales for the fiscal 2010 third quarter of $60,977,000, compared to $69,292,000 for the fiscal 2009 third quarter and $55,186,000 for the fiscal 2010 second quarter. The company’s fiscal 2010 third quarter ended March 26, 2010.
Twin Disc’s losses were largely due to weakness in the megayacht market. However, the company noted that while down year-over-year, sales continue to show sequential quarterly improvements, as a result of strengthening demand from customers in the oil and gas market and continued demand from the airport, rescue and fire fighting (ARFF), land- and marine-based military, and Asian-Pacific commercial marine markets.
Net earnings for the fiscal 2010 third quarter were down roughly half at $1,451,000, compared to net income of $2,850,000 for the fiscal 2009 third quarter. The company had a net loss of $490,000 for the fiscal 2010 second quarter. Year-to-date, Twin Disc reported a net loss of $1,443,000 compared to net income of $8,748,000 for the fiscal 2009 nine months.
“Our results have turned the corner, and we expect this improving trend will continue,” CEO Michael E. Batten said in the company’s quarterly report. “On all levels of the company, I am proud of the operating plan we created and continue to execute, despite a difficult economic environment. After several quarters of low activity, the oil and gas market has begun to pick up, driven by higher energy prices and we are well positioned to benefit from a recovery in oil and gas production. In addition to our optimism for the oil and gas market, we see continuing demand for our products from ARFF, legacy land-based military and military patrol boat markets at the pace we experienced throughout the first nine months of fiscal 2010. While we expect challenges to remain in other of our markets, specifically, the megayacht and pleasure craft markets, there are many reasons for us to be encouraged, especially as our financial position continues to strengthen.”