Hudson Technologies Inc., a leading provider of solutions for recurring problems in the refrigeration industry, today posted its results for the fourth quarter and year ended December 31, 2010.
The company reported revenues for the fourth quarter at $4.14 million, a 49.5 percent increase over the $2.76 million reported for the comparable quarter of 2009. Gross profit margins improved to 32.7 percent of sales for the fourth quarter compared to 3.4 percent of sales in the fourth quarter last year. Hudson reported a net loss of $(556,000), or $(0.02) per basic and diluted share, for the fourth quarter of 2010, compared to a net loss of $(1.72 million), or $(0.08) per basic and diluted share, for the fourth quarter of the year prior.
For the year ended December 31, 2010, Hudson Technologies reported revenues of $37.23 million, a 54 percent increase compared to revenues of $24.16 million in the year ended December 31, 2009. Gross profit margins increased to 22 percent for 2010 compared to gross margins of 16 percent in 2009. Hudson Technologies achieved net income of $701,000, or $0.03 per basic and diluted share for the year ended December 31, 2010, compared to a net loss of $(2.49 million), or $(0.12) per basic and diluted share, reported in 2009.
“We are very pleased to report solid revenue growth and record revenues for 2010, reflecting increased demand for both refrigerants and services. Our 2010 revenues represent a 54 percent increase over 2009 revenues and a 12 percent increase over 2008 revenues, our previous year of record revenues,” Kevin J. Zugibe, chairman and CEO of Hudson Technologies stated in the press release. “Additionally, our fourth-quarter gross margin demonstrated a continuation of the sequential margin improvement that we achieved throughout 2010. In 2010, we began to see customers returning to more historical purchasing patterns and increased volumes. In addition, 2010 was one of our most successful years for our RefrigerantSide® Services service business, as people were more fully utilizing their cooling systems, increasing the demand for our patented and proprietary services.”
Zugibe emphasized that the company’s 2009 results were a deviation of its usual results and detailed what he expects in the future.
“Throughout the past five quarters, we have expressed our view that 2009 was an anomaly and that we expected to return to the double-digit revenue growth rate we had sustained for the five years through 2008. We are very pleased that the expectations we communicated to our shareholders have been validated by our 2010 results. Our 2010 performance is a result of both the expansion of our customer base as well as volume growth, all accomplished without the benefit of refrigerant price increases. Since the close of 2010, we have begun to see higher refrigerant prices and we believe we are well positioned to continue double digit revenue growth for 2011,” Zugibe stated. “Lastly, we remain confident that the anticipated supply/demand imbalance created by the EPA mandated phase-out of R-22 should, over time, result in higher R-22 prices and a corresponding increase in demand for refrigerant reclamation, which could significantly benefit our future performance.”
For more information visit www.hudsontech.com
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