Matthews Says Profit for Quarter Nearly Tripled

Matthews Studio Equipment Group, a Burbank company that makes, sells and rents film production equipment, said its fiscal third-quarter earnings nearly tripled on a 6% increase in revenues over the same period last year.

Earnings for the three months ended June 30 were $509,000, compared to $181,000 for the third quarter last year. Revenues during the quarter were $6.23 million, compared to $5.86 million a year ago.

For the nine months ended June 30, Matthews reported earnings of $1.1 million, up from $437,000 during the same period a year ago. Revenues for the nine months were $18 million, compared to $14.8 million last year.

Separately, the company announced it has decided not to go forward with a previously announced private placement of convertible subordinated debentures, a form of corporate debt that is exchangeable into common stock after a predetermined date. The placement, valued at about $5 million, was to have paid for new rental equipment, said Jack Brehm, Matthews’ chief financial officer. Brehm declined to say why the company decided not to go ahead with the deal.