After the close of the market today, Force Protection (FRPT) has received orders for 34 Cougar vehicles and 14 Buffalo A2 route clearance vehicles from the Canadian Government. The order is totaled at $49.4 million and also includes spare parts and field support.
Force Protection, Inc. manufacturers and distributes vehicles that protect and save lives. The company has a fleet of vehicles designed for police and military organizations domestically and internationally. The vehicles are predominantly ballistic blast protected wheeled vehicles deployed by military forces worldwide.
This order is the second order from the Canadian government. In 2007 the Canadian government received five Cougar vehicles and five Buffalo vehicles. The Chairman and CEO of Force Protection Micheal Moody stated that he is pleased with these orders as our NATO allies continue to fight the war on terror and protect themselves using the Force Protections life saving vehicles. He concluded by saying that the Cougar and Buffalo vehicles are the most survivable, sustainable vehicles on the battle field.
On November 10th the company reported strong third quarter earnings results. Sales increased 66% to $343 million versus $206.8 million a year earlier. Net income was also strong increasing to $19.9 million or $0.29 per fully diluted share versus the year before net loss of $0.8 million or $0.01 per diluted share. Gross margins in the 3rd quarter were 18.6 percent of net sales versus 10.9 percent the year before. The gains were due to substantial improvements in operating efficiency and manufacturing of vehicles provided by General Dynamic Land Systems subcontractors.
The company delivered 422 Cougar vehicles in the 3rd quarter. The sales from those vehicles totaled $255.5 million during the quarter. Force Protection ended today trading at $3.12 up $0.31 or 11.03 percent on volume of 619,946 below the average daily at 653,520. In after hours trading the company ended trading at $3.14 up $0.02 or 0.64 percent.
By: Marlin Rolle
*Please have a look at the chart of Force Protection click on the link below.*
http://thechartspot.blogspot.com/
