Higher sales do not translate into profit
Chicago Rivet & Machine Co. reported a third-quarter net loss of $915,977, compared with net income of $67,572 a year earlier, in its November 6 announcement.
Net sales increased to $7,530,167 from $7,360,284. The NYSE American-listed company’s brief results statement therefore shows sales growth alongside a reversal from profit to loss.
The first nine months also move into loss
For the nine months ended September 30, net sales were $21,618,309, down from $21,903,997 a year earlier. The net loss was $2,267,520, compared with prior-year net income of $73,615.
Third-quarter loss per common share was $0.95, compared with earnings of $0.07. The average share count was unchanged at 966,132 in both third-quarter periods.
The release does not explain the deterioration
The announcement presents a consolidated results table without a detailed explanation of the move into loss. It does not establish whether particular costs, customers or operations drove that change.
Chicago Rivet marks all the figures as subject to year-end audit. Readers comparing its performance should distinguish the stronger quarterly sales figure from the weaker quarterly and nine-month bottom lines.
