Encore Wire Sales, Profit Grow on Higher Wire Prices

Encore Wire Corp. (NASDAQ Global Select: WIRE), McKinney, TX, reported sales for the second quarter were $236.1 million, an increase of 48 percent over second quarter 2009. Profit was $8.1 million, compared to $0.6 million for the same period a year ago.

Higher prices for building wire sold in the quarter accounted for most of the increase in net sales dollars, increasing 44.9 percent per copper pound sold versus the same period in 2009. Unit volume increased 2.3 percent.

Sales for the six months were $411.3 million, up 35 percent compared to the same period in 2009. Profit increased 10 percent to $5.7 million.

Prices for building wire increased 59.2 percent per copper pound versus the same period in 2009. Unit volume decreased 14.9 percent.

Encore Wire manufactures a broad range of copper electrical wire for interior wiring in homes, apartments, manufactured housing and commercial and industrial buildings.