General Automotive Company, a North American provider of aftermarket parts and advanced technology for the automotive industry, announced financial results for its second quarter ended June 30, 2009. www.generalautomotive.com.
General Automotive achieved year-over-year improvements in most profitability metrics in the second quarter of 2009. Revenue in the second quarter of 2009 increased 11.06% to $3,373,999 compared to $3,037,883 in the three months ended June 30, 2008.
Gross margin improved 3.82 percentage points to 12.48% of revenue in the second quarter from 8.66% of revenue in the same quarter last year due to increased efficiencies in purchasing practices and product sourcing at its OE Source subsidiary. The Company reduced its operating expenses during the six months ended June 30, 2009 by 1.33%, lowering its total expense to $1,059,240 from $1,073,582.
Earnings before interest and taxes improved 38.37% for the three months ended June 30, 2009 to an operating loss of $136,227 from an operating loss of $221,027 for the three months ended June 30, 2008. Through improved gross margins the Company reported a reduced net loss of $506,071, or $0.03 per basic and diluted share for the six months ended June 30, 2009, versus a net loss of $923,944, or $0.09 per basic and diluted share, in the six months ended June 30, 2008. The year-ago net loss included $287,807, or $0.03 per basic and diluted share, related to discontinued operations.
"We're all very pleased with excellent growth and improvements in operation and financial performance achieved during the first half of 2009," said Joseph DeFrancisci, president and CEO of General Automotive. "Having identified, qualified and brought on line new and high quality sources in Asia, OE Source has been able to offer its customers a new dimension in value, service and supply chain efficiency."
