Operating income loss at Hallwood Textile Products Opts
27 Nov '07
4 min read
The Hallwood Group Incorporated reported results for the third quarter and nine months ended September 30, 2007.
For the quarter, Hallwood reported a net loss of $367,000, or $0.24 per share, compared to a net loss of $848,000, or $0.56 per share, in 2006.
For the nine months, Hallwood reported a net loss of $8.3 million, or $5.44 per share, compared to a net loss of $883,000, or $0.58 per share, in 2006. The 2007 nine month loss included an equity loss from the Company's Hallwood Energy, L.P. affiliate in the amount of $13.6 million.
Following is a comparison of results for the 2007 and 2006 periods:
Operating Income (Loss). For the 2007 and 2006 third quarters, operating income, primarily from textile products operations, was $1.2 million and a loss of $584,000, on revenue of $32.6 million and $25.1 million, respectively.
For the 2007 and 2006 nine months, operating income was $2.0 million and $790,000, on revenue of $92.9 million and $84.5 million, respectively.
The increases in revenue and operating income were primarily due to military sales, which were $18,079,000 and $46,625,000 for the three months and nine months ended September 30, 2007, compared to $11,541,000 and $40,455,000, respectively.
Other Income (Loss). Other income (loss) consists of equity from the Company's 24% minority investment in its Hallwood Energy, L.P. affiliate, interest expense and other income and expense.
For the 2007 and 2006 third quarters, other income (loss) was a loss of $1.5 million and $670,000, respectively, including an equity loss from its energy investment of $1.3 million in 2007, compared to an equity loss of $665,000 in 2006.
For the nine months, other income (loss) was a loss of $14.1 million and $1.7 million, respectively, including equity losses of $13.6 million in 2007 and $1.7 million in 2006.
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