PSI sees 19 percent hike in 3Q sales

WOOD DALE - Power Solutions International said net sales for the third quarter of 2015 rose 19 percent as the company benefitted from its recent acquisition of two companies.

The manufacturer of emissions-certified alternative-fuel and conventional power systems reported net sales of $112 million for the quarter, up from $94 million in the third quarter of 2014 and from $94.6 million in the second quarter of 2015. The sales increase was driven by approximately $17.7 million in revenue from the acquisition of Powertrain Integration LLC, and approximately $1.2 million from the acquisition of Buck's Engines LP, both of which were acquired last spring.

Operating income of $1.4 million in the current quarter compares to $7.5 million in the third quarter of 2014 and $4.5 million in the second quarter of 2015.

"This quarter was marked by both impressive achievements and opportunities for improvement," said Gary Winemaster, Chief Executive Officer of PSI. "We recorded the highest quarterly revenue in our history, and expanded our product portfolio through our own R&D effort and via our recent acquisitions.

"Our margins, however, were pressured by manufacturing inefficiencies incurred while supporting this growth, and by the losses at our 3PI subsidiary. We have identified specific improvement actions and are putting measures in place to resolve these issues," he added.