Preformed Line Products Announces Second Quarter and First Half 2012 Results

MAYFIELD VILLAGE, Ohio, Aug. 8, 2012 /PRNewswire/ -- Preformed Line Products Company (Nasdaq:  PLPC) today reported financial results for the second quarter and the first six months of 2012.

Net income for the quarter ended June 30, 2012 decreased 21% to $6,596,000, or $1.21 per diluted share, compared to $8,386,000 or $1.55 per diluted share, for the comparable period in 2011.  Currency exchange rates had a negative impact on net income of $502,000 or $.09 per diluted share for the second quarter of 2012.

Net sales in the second quarter of 2012 were $111,940,000, compared to $114,530,000 in the second quarter of 2011.  Currency exchange rates had a negative impact on sales of $6,333,000 for the second quarter of 2012.

Net income for the six months ended June 30, 2012 was $14,729,000, or $2.71 per diluted share, compared to $15,384,000, or $2.85 per diluted share for the comparable period in 2011.  Currency exchange rates had a negative impact on net income of $693,000 or $.13 per diluted share for the first six months of 2012.

Net sales increased 5% to $220,786,000 for the first six months of 2012 compared to $209,618,000 in the first six months of 2011.  Currency exchange rates had a negative impact on sales of $7,260,000 for the first six months of 2012.

Rob Ruhlman, Chairman and Chief Executive Officer, said, "Our domestic operations continue to remain strong with a 20% sales growth for the first half of the year.  Currency headwinds had a significant negative impact on our worldwide results as foreign currencies weakened against the U.S. Dollar.  In addition to the $.5 million impact on the quarter and nearly $.7 million impact on the year resulting from translating foreign denominated financial statements into Dollars, we had pre-tax changes in unrealized translation losses of $1.8 million for the quarter and $1.2 million for the year resulting from intercompany receivables and loans. Excluding the impact of currency, our net income improved for the year and was 3% lower for the quarter. Considering the condition of the global economy, these results are on par if not slightly above those of our peers."

Founded in 1947, Preformed Line Products is an international designer and manufacturer of products and systems employed in the construction and maintenance of overhead and underground networks for energy, communications and broadband network companies.

Preformed's world headquarters are in Cleveland, Ohio, and the Company operates three domestic manufacturing centers located in Rogers, Arkansas, Albuquerque, New Mexico, and Albemarle, North Carolina.  The Company serves its worldwide market through international operations in Australia, Brazil, Canada, China, England, Indonesia, Malaysia, Mexico, New Zealand, Poland, South Africa, Spain and Thailand.

This news release contains "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 regarding the Company, including those statements regarding the Company's and management's beliefs and expectations concerning the Company's future performance or anticipated financial results, among others. Except for historical information, the matters discussed in this release are forward-looking statements that involve risks and uncertainties which may cause results to differ materially from those set forth in those statements.  Among other things, factors that could cause actual results to differ materially from those expressed in such forward-looking statements include the strength of the economy and demand for the Company's products, increases in raw material prices, the Company's ability to identify, complete and integrate acquisitions for profitable growth, and other factors described under the headings "Risk Factors" and "Forward-Looking Statements" in the Company's 2011 Annual Report on Form 10-K filed with the SEC on March 14, 2012 and subsequent filings with the SEC.  The Annual Report on Form 10-K and the Company's other filings with the SEC can be found on the SEC's website at http://www.sec.gov.  The Company assumes no obligation to update or supplement forward-looking statements that become untrue because of subsequent events.

SOURCE Preformed Line Products Company