Allied Motion sales and earnings more than double
The acquisition of Globe Motors dramatically boosted sales and earnings for Allied Motion Technologies.
The manufacturer of motion control technologies said that first-quarter net income increased 124% to $2.14 million, or 24 cents per diluted share, compared to $960,000, or 11 cents, for the same period last year.
Revenues for the quarter increased 140% to $60.43 million compared to $25.14 million last year with sales in the U.S. up 200% and foreign sales up 78%.
During the quarter, the company received $1.43 million from the former owner of Globe Motors from a purchase price working capital adjustment, reducing the overall purchase price of Globe to $88.5 million. The acquisition was finalized in October 2013.
“As mentioned in our press release from the fourth quarter of 2013, we expect our revenues for 2014 to more than double relative to Allied’s 2013 pre-acquisition revenues and for the Globe acquisition to be accretive to earnings. The record results for the first quarter 2014 are in line with these expectations," said Dick Warzala, chairman and CEO of Allied Motion.
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