Globe Specialty Metals, Inc.(GSM: Quote), a silicon metal and silicon-based alloys manufacturer reported a decline in earnings despite an increase in sales for the fourth quarter ended June 30, reflecting an increase in cost of goods sold and SG&A expenses. Per share earnings were however better than the Street view.
For the quarter, net income decreased to $8.82 million or $0.12 per share from $15.45 million or $0.20 per share. However, excluding certain one-time expenses, earnings were 17 cents a share.
On average, 6 analysts polled by Thomson Reuters expected the company to report earnings of $0.15 per share for the quarter. Analyst estimates typically exclude special items.
Cost of good sold for the quarter rose to $156.68 million from $126.29 million last year. Similarly selling, general and administrative (SG&A) expenses climbed to $18.52 million from $15.82 million a year ago.
Net sales for the quarter , however, increased by 9 percent to $191.7 million from $175.9 million last year. The latest figures reflect acquisition of Quebec Silicon.
The board approved an annual dividend of $0.25 per share payable in September, December, March and June. The dividend represents an increase of 25 percent from last year, the company said in a statement.
Monday, Globe Specialty closed at $13.89 on the Nasdaq.
by RTT Staff Writer
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