NEWMARKET, Ontario (March 30) — A weaker fourth quarter was the only bump in the road toward a very profitable 2006 for AirBoss of America Corp.
The company's rubber compounding and railway products divisions paced the Newmarket-based company as its net income from continuing operations shot up more than 300 percent to $5.8 million for the year from the $1.3 million it earned in 2005 on sales of $198.8 million, a 2 percent increase.
AirBoss recorded a loss of $82,000 in earnings from continuing operations in the fourth quarter compared to a gain of $157,000 in 2005.
Improvements were due largely to manufacturing improvements and the elimination of prior year losses from the firm's temporary U.S. manufacturing location, the company said.
Demand in key sectors, such as rubber compounds for mining belts, rubber tracks and automotive parts were up throughout the year but softened in the fourth quarter and AirBoss anticipates that will continue throughout 2007.
However, the firm is optimistic that volumes and profitability will increase in 2007.