Strong sell-in and a 9% surge in golf shaft sales propelled sales for Aldila Inc. 16.8% to $16.1 million from $13.8 million a year ago.

 

Management for the Poway, CA-based golf shaft manufacturer said momentum from a strong fourth quarter carried over into the first quarter of 2010 as factories in China and Vietnam were “running at high levels” throughout the quarter. Net income for Aldila swung to $707.000, or 13 cents per share, from a loss of $48,000, or a penny per share, in the year-ago period.

 

“Bad weather across most of the Unites States in January and February hindered stores sales,” said Chairman and CEO Peter Mathewson in a conference call with analysts. Matthewson added that March, April and May will be a better indicator of yearly results.

 

The Composite business reported its best quarter since the second quarter of 2007, as strong shipping and order activity propelled sales of composite materials 83% to $2.7 million. Management said the addition of key personnel to the composite materials division is starting to have a positive effect on growth initiatives.

 

Average selling prices for Aldila slipped 8% from last year but gross margins for Aldila improved significantly to 26.3% from 20.7% a year ago. ALDA said an increase in advertising and promotion spending helped drive an increase in SG&A expense of 13% during the quarter. 

 

ALDA increased its advertising and promotional spending during the quarter by 29% in support of its branded products, which includes the RIP shaft, set to be launched to distributors on July 1.