CIMCO’s Sales up, Income Down

CIMCO Inc., a Costa Mesa-based manufacturer, reported record sales for its second fiscal quarter but said income declined as anticipated. Net income for the three months ended Oct. 31 dropped to $290,812 from $753,932 a year ago. Sales rose 4%, to $14.4 million from $13.9 million. For the first half of fiscal 1990, net income totaled $216,807, contrasted with $1.7 million for the like six-month period last year. Sales declined 5%, to $25.8 million from $27.1 million.

Russell T. Gilbert, president and chief executive, said the record second-quarter sales primarily reflected a strong performance by the company’s material compounding subsidiary and initial sales to a new Pacific Rim customer. Earnings for the second quarter were affected by prior investments in plant and equipment, as well as by start-up costs associated with recently acquired contracts, the company said.

CIMCO manufactures thermoplastic custom products and supplies custom polymeric compounds to the electronics, computer, transportation, health care and defense industries.