Psychemedics Corporation (PMD) has reported 1,175.68 percent jump in profit for the quarter ended Dec. 31, 2016. The company has earned $2.36 million, or $0.43 a share in the quarter, compared with $0.18 million, or $0.03 a share for the same period last year.
Revenue during the quarter surged 75.48 percent to $10.76 million from $6.13 million in the previous year period. Gross margin for the quarter expanded 1620 basis points over the previous year period to 59.44 percent. Total expenses were 66.21 percent of quarterly revenues, down from 98.14 percent for the same period last year. This has led to an improvement of 3193 basis points in operating margin to 33.79 percent.
Operating income for the quarter was $3.64 million, compared with $0.11 million in the previous year period.
Raymond C. Kubacki, chairman and chief executive officer, said, "2016 was a record year for the Company for revenues and earnings. The fourth quarter was also a record for any fourth quarter in the company's history for both revenue and earnings. The significant growth, for the year and the quarter, was primarily driven by our international business, specifically professional driver testing in Brazil. However, we also began to see improvement in the fourth quarter in some segments of our domestic business with nice pick-ups in Oil & Gas and Schools."
Working capital increases sharply
Psychemedics Corporation has recorded an increase in the working capital over the last year. It stood at $6.36 million as at Dec. 31, 2016, up 29.99 percent or $1.47 million from $4.89 million on Dec. 31, 2015. Current ratio was at 2.41 as on Dec. 31, 2016, up from 2.37 on Dec. 31, 2015.
Debt comes down significantly
Psychemedics Corporation has recorded a decline in total debt over the last one year. It stood at $3.38 million as on Dec. 31, 2016, down 42.62 percent or $2.51 million from $5.89 million on Dec. 31, 2015. Total debt was 13.51 percent of total assets as on Dec. 31, 2016, compared with 26.35 percent on Dec. 31, 2015. Debt to equity ratio was at 0.22 as on Dec. 31, 2016, down from 0.50 as on Dec. 31, 2015.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
