Quarterly Profit Narrows for Kimball Electronics
(photo courtesy of Kimball Electronics)
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As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe NowJasper-based Kimball Electronics Inc. (Nasdaq: KE) is reporting fiscal first quarter net income of $2.6 million, down from $16.8 million during the same period a year ago. Chief Executive Officer Donald Charron says the company continues to deal with global supply chain challenges.
Kimball also saw a 12% drop in net sales to $293 million. Charron says component shortages continue to make it challenging for the company to keep pace with strong market demand.
“We were disappointed by the lack of improvement in the overall situation in the September ending quarter, when we were actually expecting some level of recovery,” Charron said. “Conditions deteriorated in the period due to COVID related restrictions in Malaysia, and the worsening of the backlog in U.S. west coast ports. While these supply chain challenges had a more significant impact on absorption than anticipated, we are committed to retaining our experienced and talented workforce around the world as we see these disruptions as a short-term issue.”
Charron says as supply constraints get better, the company will be well positioned to ramp up production.
You can view the full earnings report by clicking here.