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Earnings Analysis: 
REX Stores Posts a 46% Net Income Fall
Author: 123jump.com Staff
123jump.com
Last Update: 1:41 PM EDT March 28 2007



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Industrial Services of America fourth-quarter profit grew despite lower sales, as the company reduced its overhead expenses. REX Stores net income fell 46% as sales at established stores declined. Noble International fourth-quarter loss narrowed on revenue contributions from an acquisition and the launch of new laser welding programs, but the downturn in North American vehicle production caused the company to fall short of internal expectations.

 
Industrial Services of America Inc. (IDSA: chart), waste and recycling management services provider, said that its fourth-quarter net income increased to $729,728, or 20 cents per share compared with $415,536, or 12 cents per share, in the year-ago period. Revenue declined to $14.6 million versus $19.7 million in the same period a year earlier.

Rex Stores (RSC: chart), specialty consumer electronic products and appliances provider, said that its fourth-quarter earnings declined to $3.6 million, or 30 cents per share compared with a year-ago profit of $6.6 million, or 57 cents per share. On a continuing operations basis, the company earned $4 million, or 34 cents per share, for the January period. Net sales and revenue declined to $104.4 million for the three-month period, from $123.5 million a year earlier. Same-store sales slid 13.7% in the fourth quarter. Rex Stores noted it recorded $4.1 million of income in the latest quarter from synthetic fuel limited partnership investments, investment income and equity in unconsolidated affiliates.

Noble International Ltd. (NOBL: chart), auto parts supplier, narrowed its fourth-quarter loss of $2.2 million, or 16 cents per share, the last-year company''s loss of $4 million, or 29 cents per share. Quarterly sales jumped to $138.2 million from the prior year''s $96.4 million, in part reflecting Warren, Mich.-based Noble''s acquisition of Pullman Industries Inc. The company pegged revenue for 2007 in a range of $640 million to $650 million from current business lines, based on estimated North American light-vehicle production of 15 million units. Noble''s 2006 top line amounted to $441.4 million.
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