Another company we’re following comes in with strong results..
We adviced a position at $22.55 on June 2 of this year. The shares have almost doubled since then..
- Q3 profit tops Wall Street view
- Revenue up 10 pct
- Raises FY09 revenue forecast
- Shares rise 12 pct in pre-mkt trade (Recasts, adds details, updates share movement)
Nov 5 (Reuters) – Alternative fuel components maker Fuel Systems Solutions Inc (FSYS.O) posted a quarterly profit that beat market expectations helped by strong demand for alternative-fueled vehicles, especially in Italy, and raised its full-year revenue outlook.
Shares of the company were up 12 percent at $37.97 in trading before the bell.
“While the soft global economy continues to impact the transportation aftermarket and industrial businesses, OEM/DOEM (delayed original equipment manufacturer) transportation demand has gained momentum during the second half of 2009,” Chief Financial Officer Matthew Beale said in a statement.
For 2009, the company sees revenue of $415 million to $425 million, up from its prior view of $370 million to $380 million, driven by margin improvements and acquisitions.
In 2009, the company expects a gross margin of 30 percent to 32 percent, and operating margin of 14 percent to 16 percent.
In August the company said it was targeting 2009 gross margin of 28 percent to 30 percent, and operating margin of 11 percent to 13 percent.
Fuel Systems, which acquired Teleflex Inc’s (TFX.N) power systems business, said demand from Europe will continue.
Fuel Systems’ components and systems control the pressure and flow of gaseous alternative fuels, such as propane and natural gas, used in internal combustion engines.
For the third quarter, net income attributable to the company was $15.5 million, or 88 cents a share, compared with $11.9 million, or 75 cents a share, a year ago.
During the quarter, the company recorded a gain of 11 cents a share related to an acquisition.
Revenue rose 10 percent to $116.2 million.
Analysts on average were expecting earnings of 43 cents a share, on revenue of $104.3 million, according to Thomson Reuters I/B/E/S. (Reporting by Bhaswati Mukhopadhyay in Bangalore; Editing by Vinu Pilakkott)