EVERETT — Intermec Inc. earned nearly $9 million for the last quarter of 2008, as the Everett-based electronics firm outsourced its production work to Asia to remain competitive in the global market, the company reported Thursday.
The company reported net earnings of $9.1 million, or 15 cents per diluted share, for the quarter ended on Dec. 31. That’s down from $16.4 million, or 27 cents per diluted share, a year ago.
During the fourth quarter, Intermec also spent $3.2 million moving its manufacturing operations to Asia as well as consolidating its depots to streamline its supply chain. It also took a $1.1 million flood-related charge for damages in 2008.
“We have made progress towards our target business model,” said Patrick Byrne, the company’s president and chief executive officer.
The company produces computerized devices that help businesses and governments label, identify and track their inventories.
Intermec reported a $35.5 million net income, or 58 cents per diluted share, for 2008. That’s up from $24.3 million, or 40 cents per diluted share, in 2007.
The company’s revenues for the 2008 fourth quarter were $221 million. That’s down from $253 million a year ago.
In July, the firm announced it will let Venture Corporation Ltd., a global electronics supplier, take over all of its assembly in Asia. Plus, Intermec decided to transfer repair work done in Everett and Iowa to existing depots in Charlotte, N.C., and Monterrey, Mexico.
The changes were expected to cost about 180 jobs in Everett.
In North America, the company’s revenues increased 11 percent in the fourth quarter compared with a year ago. Its revenues in Europe, the Middle East, Africa, Asia and Latin America declined.
“Overall, we have a solid momentum in North America,” Byrne said in a conference call with investors.
Meanwhile, Intermec expects its revenues to dip because of the slow global economy. They are expected to be between $150 million and $170 million for the first quarter of this year. The company also plans to spend up to $10.8 million continuing to restructure its business model.
Reporter Yoshiaki Nohara: 425-339-3029 or ynohara@heraldnet.com.
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