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Amerigon Q4 profit tops analyst views, shares rise 6%

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Amerigon (NASDAQ:ARGN) posted better-than-expected earnings that smashed analysts’ forecasts, driven by acquisitions and demand for its products.

The news sent Amerigon’s share price up 6.45 percent to $16.17 in trade on the Nasdaq on Monday.

The company, founded in 1991, makes climate control seats which it then sells to the automobile and light truck original equipment manufacturers worldwide.

Net income – for the quarter ended December 31 – totalled $6 million, or 25 cents a share, compared with $3.3 million, or 15 cents a share.  

Stripping away one-time items, such as write-offs tied to its acquisition, Amerigon would have earned $8.1 million, or 34 cents a share. Sales surged to $131 million from $28.9 million.

Analysts had forecasted earnings of nine cents a share and revenue of $121 million, according to Bloomberg.

In a statement, chief executive Daniel R. Coker said: "We experienced solid demand for our heated and cooled cup holder, which was launched in late 2010, and we saw increasing progress for our heated and cooled luxury mattress line as well."

Gross margin slipped to 26 percent from 30 percent, due to higher raw material costs and unfavourable sales mix.

Selling, general and administrative costs grew to $12.5 million, due to higher compensation expenses as the company beefed up its staff headcount.

Looking ahead, the company said revenues for first quarter 2012 will be flat, which reflect pull ahead of some orders in the fourth quarter.

For full-year 2012, Amerigon projects revenue growth in the range of 10 percent.

Analysts project full year earnings of 84 cents a share and revenue of $513 million.

Amerigon, headquartered in Michigan, has more than 5,000 workers in plants across the Canada, the U.S., Germany, Japan and the Ukraine.

Quick facts: Amerigon

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NASDAQ:ARGN
Market: NASDAQ
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