Xerium Technologies up on 216% Q3 profit jump
Xerium Technologies, Inc. (NYSE: XRM) shares are soaring after the maker of paper production products reported third-quarter income of $7.08 million, or $0.16 per share, above analyst estimates of $0.13 per share and up 216% from $2.24 million, or $0.05 per share, a year earlier.
“We continue to make meaningful progress as we work to strengthen our core businesses and position Xerium for future growth,” CEO Thomas Gutierrez said in a statement. “As we have described in previous quarters, the roll covers business continues to face a number of challenges that have limited our ability to generate sales increases.”
The firm’s quarterly net sales rose 6% to $153.6 million, above Wall Street projections of $145 million and compared with $145.5 million during the same period of 2006.
Gutierrez said the company remains “cautious about market conditions as consolidation amongst our customers continues and the competitive environment, particularly in Western Europe, is still challenging.”
In afternoon trading, XRM shares are up 20.11%, or $0.74, at $4.42. Over the last 52 weeks, shares have ranged from $3.29 to $12.07.
About the Author
Reporter Will Atkinson is based in SmallCapInvestor.com's Washington, D.C. bureau.
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