China Electric Motor Inc., which makes parts for household appliances, autos and consumer devices, said Friday its third-quarter net income slipped 15.6 percent because of higher costs, even though revenue rose almost 50 percent.
The company, which is based in China and had its initial public offering earlier this year, said it earned $2.7 million, or 13 cents per share, in the three-month period ending Sept. 30. In the year-ago period the company earned $3.2 million, or 24 cents per share.
The total number of shares increased by more than 50 percent to 20.9 million.
Excluding one-time items the company earned 25 cents per share.
Revenue rose 48.9 percent to $32.9 million. The company cited higher volume and average selling prices of its micro-motor units.
Shares fell 83 cents or 12.9 percent to $5.61 in afternoon trading Friday.
General and administrative costs nearly tripled to $3.6 million from $1.3 million.
The company expects fourth-quarter revenue to range from $38 million to $39.5 million, and earnings per share of between 24 cents and 25 cents.
For the full year the company expects revenue of $117 million to $119 million and earnings per share of between 74 cents and 75 cents.