Lockport Union-Sun & Journal — North Tonawanda’s Taylor Devices nearly doubled second-quarter profits over last year, the company told investors on Monday.
Net earnings rose to $769,361 over 2011’s second-quarter earnings of $413,741, which led to a 10-cent jump in shares and a rise of 86 percent, while the company’s overall earnings during the first half of the year jumped to $1,377,178, from $821,858 from last year.
”The company continues to perform well,” said Doug Taylor, company president, who added that much of the strong showing in the second quarter comes from an increased demand for Taylor’s products in United States markets. “We believe 2013 should be another good and profitable year.”
The announcement follows a record-breaking year for the company, in which gross sales skyrocketed by $9 million, largely due to burgeoning growth in Asian markets and demand for earthquake equipment used on bridges and buildings. Order backlogs also decreased significantly from $25 million last year to $13 million as of November, according to Taylor.
”Higher shipment levels have reduced the order backlog to a manageable $13 million,” he said, “reducing the longer delivery times which tend to occur with higher order backlog.”
Taylor Devices gross sales for 2011-2012 hit a record $29 million while net earning moved up to $2.2 million over 2011’s $1.4 million.
The company has also expanded its operations from Tonawanda Island after purchasing three buildings on 9-acres in the Buffalo Bolt Business Park, where much of its production related to machining and metal working operations due to the growth of seismic protection products and overcrowding in its current facility. The company is investing $2.7 million in the structures, with two of three of the buildings already operational.
Taylor said a surge in demand by markets in the United States are part of the reason for the second-quarter rise, though worries persist over stagnant constructions forecasts and possible cuts to defense spending that could still hurt the company’s domestic portfolio.