Twin Disc reports flat sales during third quarter

Freeman Staff

April 28, 2015

RACINE — Sales during the third quarter were relatively flat for Twin Disc, Inc., which reported a small increase to $60,941,000, compared to $60,705,000 in sales for the same period in 2014. Year-to-date, sales were $198,456,000, compared to $190,343,000 for the fiscal 2014 nine months.

According to Tuesday’s announcement, the slight increase third quarter sales for 2015 resulted from higher shipments at Twin Disc’s North American manufacturing and distribution operations across most product markets, offset by moderating demand in its Asian markets for commercial marine, and oil and gas products. Also during the past quarter, demand from European customers was weak and continued to be moderate in Asia, while demand in North America was stable. Twin Disc said its sales were also negatively affected by foreign currency translations.

“The first nine months of fiscal 2015 have produced strong top- and bottom-line results, primarily due to better year-over-year demand from North American pressure pumping customers,” said President and CEO John H. Batten in a statement. “Also helping sales in the quarter was higher demand for marine transmissions and aftermarket activity, which were partially offset by the impact of the strengthening U.S. dollar on foreign currency translation. With sustained lower oil prices and slowing global industrial demand, we are cautiously watching our end markets for further signs of deterioration. Over the past several years, we have significantly strengthened our balance sheet. This provides us with flexibility to withstand the cyclical nature of our end markets and to invest in initiatives that improve our competitiveness, geographic and end-market diversification, and opportunities for growth.”