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Royal Oak-based Bonal International Inc. last week reported a 65 percent decline in net income for its first fiscal quarter ending June 30, to $63,336, from $179,859 a year earlier. Revenue fell 6.6 percent to $601,951 from $644,773.
Foreign unit sales are 39 percent, up from 36 percent last year. The company said United States purchases softened but rental income of Bonal's technology has increased 42 percent, demonstrating that small businesses are interested in Bonal's technology but hesitant about making capital equipment purchases because of nervousness about the U.S. economy.
"The decrease in net income is in part a result of Bonal investing cash in increased marketing programs including more tradeshows, additional advertising and training," said A. George Hebel, III, chairman and president of Bonal International. "These programs are part of a long term strategy to increase Bonal's market presence and sales."
Bonal offers low-cost, lower-energy-consumption alternatives to heat treating for a variety of industries including aerospace, armament, automotive die casting, engine building, machine tool, mining, petroleum, plastic molding, racing, ship building and welding.
More at www.bonal.com. |