NEW YORK Encore
Wire Corp.s earnings nearly tripled in the third quarter
on stronger building wire sales.
Texas-based company posted net income of $13.8 million for the
three months ended Sept. 30 vs. $5.5 million in the same period
last year on a 15.1-percent increase in sales to $309.9
The company reported a
15-percent year-on-year increase in unit volume, measured by
the amount of copper contained in wire sold, but that increase
was offset slightly by a 4-percent decrease in the average
price per copper pound sold, which corresponded with a
7.5-percent decline in raw copper prices over the same period,
The company cited a
6.2-percent increase in margin between the cost of raw copper
purchased and the price of copper wire sold as a "positive
trend" that continued to drive its business. Encore also noted
that the "expansion of product offerings over the last several
years to our existing customer base has been critical to
maintaining and perhaps boosting our market share."
"Our aluminum plant is
now on line and capable of producing our full line of
products," president and chief executive officer Daniel L.
Jones said. "Our balance sheet is very strong. We have no
long-term debt, and our revolving line of credit is paid down
to zero. In addition, we had $16.1 million in cash at the end
of the quarter."