Commercial Vehicle Group, Inc. (Nasdaq: CVGI) reported revenues of $146.4 million for the first quarter of 2010, compared to revenues of $108.5 million for the first quarter of 2009. Operating income for the first quarter of 2010 was $3.6 million compared to an operating loss of $18.4 million for the first quarter of 2009. Net income was $0.7 million for the quarter, or $0.03 per diluted share, compared to a net loss of $19.4 million, or $0.89 per diluted share, in the prior-year quarter. Fully diluted shares outstanding for the quarter were 23.8 million compared to 21.7 million for the prior-year period.
"We are very pleased with our first quarter 2010 performance, both from an operational and financial standpoint," said Mervin Dunn, President and Chief Executive Officer of Commercial Vehicle Group. "Our cost reduction efforts, as well as our focus on top line growth and maintaining our variable cost structure, have again proven to be extremely beneficial as we see signs our end markets may be starting to recover."
Revenues for the quarter compared to the prior-year period increased by approximately $37.9 million due primarily to an increase in the company's global heavy truck, construction and military end markets.
The company reported a cash balance of $25.3 million as of March 31, 2010 and had zero funds borrowed under its revolving credit facility. Capital expenditures for the first quarter were $0.7 million, or 0.5% of revenues. In addition, the company has received its previously announced tax refund in the amount of $21.4 million early in the second quarter of 2010.
"Our financial achievements through this first quarter of 2010 are extremely positive. When compared to the same period last year, our operating income improved $22.0 million on $37.9 million of incremental revenues, which is a testament to the cost cutting and margin improvement plans we have targeted over the last 12 to 18 months," said Chad M. Utrup, Chief Financial Officer of Commercial Vehicle Group. "This improvement, combined with the success of our equity offering during this past quarter and the receipt of our tax refund, has provided us with a much more flexible capital structure as we move forward."
The company is not providing revenue or earnings estimates; however, it does not expect to be required to comply with any financial covenant requirements for the full year 2010 at this time.