Published Nov. 7, 2011
Force Protection posted an operating profit of $6.8 million for the third quarter, a 521% increase over the $1.6 million loss in the third quarter of 2010.
The company’s net sales fell 19% year-over-year to $143.6 million, but the Ladson-based company lowered expenses, as well. Cost of sales fell 22%, and general and administrative expenses fell 29%.
CEO Michael Moody said another significant highlight was the company’s gross margin of 22%, which compared favorably with 19% in the same period last year and to planned gross margin of 20%. Improved pricing and cost reductions drove higher profits from service and modernization revenues, which bolstered Force Protection’s third-quarter results.
“We have produced a satisfactory third quarter,” Moody said during a conference call to talk about the earnings and Force Protection’s acquisition by General Dynamics.
Force Protection delivered 56 vehicles during the quarter and finished it with a funded backlog of $652 million. The Ladson-based manufacturer builds mine-resistant, ambush-protected vehicles.