Boston, MA 08/12/2014 (wallstreetpr) – Motorcar Parts of America, Inc. (NASDAQ:MPAA) released the first-quarter results of 2015. The numbers reflected the strength existing in its rotating electrical and wheel hub business. It reported a rise of 45.6% in its adjusted net income. The adjusted net income of Motorcar for the quarter came at $4.7 million as compared to $3.2 million in the prior-year quarter. It accounts for the adjusted net income of $0.30 per diluted share comparable to $0.22 per diluted share in 1Q2014. The management also announced that it has expanded its product line by introducing brake master cylinder.
The financial figures
Motorcar Parts of America, Inc. (NASDAQ:MPAA) reported the net sales surge of 25.3% at $63.0 million as compared to $50.2 million in the prior-year quarter. The higher net sales can be associated to the growth coming from both the wheel hub sales and the rotating electrical products. The net income reflected gains due to the deconsolidation of the Motorcar’s discontinued undercar business. It reported a gross profit at $17.8 million as compared to $16.0 million in prior-year quarter. Adjusted gross profit came at $19.2 million as compared to $16.4 million in prior-year quarter.
The management view
Chairman, President and CEO, Selwyn Joffe, chairman said that the first quarter results reflect the strong organic growth in the existing product lines. The operating synergies are positive and well positioned. The focus of the Motorcar stays on delivering the highest customer service levels. He added that the Motorcar expects the strong organic growth in wheel hub business and rotating electrical products. Motorcar Parts of America, Inc. (NASDAQ:MPAA) is well-placed to gain from the launch of its new product line.
The new launch
Motorcar Parts of America, Inc. (NASDAQ:MPAA) introduced brake master cylinders as a new addition in its product line. It is the next product launch after the introduction of wheel-hubs in last June. The new product has got the strong growth dynamics. The management expects the new product to add up in the performance in the coming quarters.
