Methode Electronics rises as Q2 profit climbs
Shares of Methode Electronics, Inc. (Nasdaq: MEI) are leaping on news before the start of trading that the maker of component devices for original equipment manufacturers saw its fiscal second-quarter profit jump 79.6%.
Net income for the fiscal quarter ended Oct. 27 was $8.8 million, or $0.24 per share, compared with a net income of $4.9 million, or $0.13 per share, during the same three months of fiscal 2007. Two analysts polled by Thomson Financial were expecting earnings of $0.19 per share.
Revenues also outpaced Wall Street’s forecast, rising 22.8% to $133.2 million from $108.5 million a year ago. Analysts were projecting revenues of $123.9 million.
“We continued to gain momentum with our European and Asian sales and profits during the second quarter,” said president and CEO Donald Duda in a statement. “While our North American automotive operations also had increased sales and profits, customer price increases significantly added to the results.”
Chicago-based Methode Electronics sells technology that conveys signals through sensors, interconnections and controls. The company’s end markets are in the automobile, networking equipment, data communication systems, consumer electronics and industrial equipment industries.
At 3:48 p.m. ET, shares of Methode Electronics (MEI) had gained $3.06, or 27%, to $14.48. The 52-week high of $18.90 was reached on July 24, while the 52-week low of $10.27 was set on Aug. 8.
