Supplier Intermet Corp. says cost-cutting helped it reach $9 million in net income for 2002 after a loss in 2001.
Intermet earned 35 cents a share on revenue of $814.9 million for the year that ended Dec. 31. That compares with a net loss of $8.7 million or 34 cents on revenue of $843.2 million in 2001. Sales fell because the company closed a plant in late 2001 that accounted for $39 million in sales.
For the fourth quarter, Intermet reported net income of $430,000 or 2 cents a share on revenue of $194.3 million, compared with a net loss of $9 million or 35 cents on revenue of $194.2 million for the same period last year. The company took a one-time charge of $1.7 million in the fourth quarter to pay a legal settlement.
Intermet also reduced its debt by $83 million last year. Its debt-to-capital ratio of 52 percent is 7 percentage points lower than in 2001.
President and COO Gary Ruff said the company is making progress in increasing sales with foreign-owned automakers operating in North America.
Intermet manufactures metal castings for the auto industry.
Terry Kosdrosky is on the editorial staff of Crain's Detroit Business, a sister publication to Automotive News.