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LMI Aerospace Inc. Reports Operating Results (10-Q)

August 06, 2010 | About:
10qk

10qk

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LMI Aerospace Inc. (LMIA) filed Quarterly Report for the period ended 2010-06-30.

Lmi Aerospace Inc. has a market cap of $212.2 million; its shares were traded at around $18.03 with a P/E ratio of 15.9 and P/S ratio of 0.9. Lmi Aerospace Inc. had an annual average earning growth of 37.1% over the past 5 years.LMIA is in the portfolios of John Buckingham of Al Frank Asset Management, Inc..

Highlight of Business Operations:

Net sales of components for corporate and regional aircraft were $12.3 million for the second quarter of 2010 compared to $11.8 million for the second quarter of 2009, an increase of $0.5 million, or 4.2%. This increase was primarily attributable to $0.3 million in sales related to the new MJet program. The second quarter of 2009 included $1.6 million of nonrecurring tooling sales, which were offset by a production increase for Gulfstream large cabin aircraft in the current quarter.

Net sales of products used in large commercial aircraft were $15.2 million for the second quarter of 2010 compared to $18.2 million for the second quarter of 2009, a decrease of $3.0 million, or 16.5%. This decrease primarily resulted from a $4.9 million decline in the 767 wing modification and winglet program from $7.6 million for the second quarter of 2009 to $2.7 million for the second quarter of 2010 based on demands for upgrades in the existing 767 fleet. Sales related to the 777 program increased from $1.2 million in the second quarter of 2009 to $2.6 million in the second quarter of 2010, an increase of $1.4 million, or 117%, due to nonrecurring tooling sales. The overall decline was offset by production rate increases across a variety of platforms.

Military products generated $8.1 million of net sales in the second quarter of 2010 compared to $8.7 million in the second quarter of 2009, a decrease of $0.6 million, or 6.9%. This decrease partially resulted from a decline of $0.9 million in sales for the Apache Helicopter program from $0.9 million in the second quarter of 2009 to minimal in the second quarter of 2010, primarily due to changes made in the customer s inventory management process. This decline was offset by Blackhawk sales, which increased in the second quarter of 2010.

Other products generated $2.6 million in net sales in the second quarter of 2010 compared to $1.5 million in the second quarter of 2009, an increase of $1.1 million, or 73.3%. This increase was partially a result of an increase of $0.6 million in technology product sales from $0.4 million in the second quarter of 2009 to $1.0 million in the second quarter of 2010. This increase was also partially a result of an increase of $0.5 million in sales at Intec from $1.0 million in second quarter 2009 to $1.5 million in the second quarter of 2010.

Net sales for services supporting corporate and regional aircraft, the majority of which is on the development of new and re-designed aircraft, were $5.7 million in the second quarter of 2010 compared to $4.6 million for the second quarter of 2009, an increase of $1.1 million, or 23.9%. This increase resulted from $2.5 million in revenues generated by the new design-build program with MJet and increased engineering efforts on the Bombardier Learjet program, offset by the completion of engineering requirements for the G650 project.

Net sales for services for large commercial aircraft were approximately $7.7 million in the second quarter of 2010, down $2.5 million, or 24.5%, from $10.2 million in the second quarter of 2009. These revenues are primarily from design programs supporting Boeing s 747-8 and 787 platforms. The decreases resulted from the reduced requirement for the 747-8 platform, which earned revenues of $2.4 million in the second quarter of 2010 compared to $5.9 million in the second quarter of 2009.

Read the The complete Report

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