Hemisphere GPS Reports 2010 4Q Results

For the fourth quarter ended December 31, 2010, Hemisphere GPS, Calgary, AB, reported $12.2 million in revenues, compared to $12.1 million recorded in the fourth quarter of 2009. Revenues from all market segments increased in the fourth quarter with the exception of OEM sales in the agriculture segment, which were 31% below 2009 due to timing of order receipts.

Specifically, OEM revenues increased by 20% during the second half of 2010, driven by high deliveries in the third quarter which increased 106% over 2009. In the fourth quarter, however, expected OEM orders were deferred into the first half of 2011. Despite deferred orders, the fourth quarter of 2010 still represents the second highest fourth quarter revenue in the company’s history and the last half of the year is the strongest on record for Hemisphere GPS.

“We experienced a general recovery that strengthened through 2010, with second half revenues that grew by 20% year-over-year, after a decline of 6% in the first half of the year” said Steven Koles, President and CEO of Hemisphere GPS. “The recovery led us well into 2011 where we have seen improved momentum in the first quarter supporting a return to growth and profitability. Traction from new products, stronger grain prices and signs of economic recovery are believed to have contributed to stronger purchasing since the second quarter of 2010.” ◆