Hammond Power Solutions | Annual Report 2010

Consolidated Statements of Earnings and Comprehensive Earnings
Years ended December 31, 2010 and 2009 (tabular amounts in thousands of dollars except earnings per share)
Consolidated Statements of Shareholders’ Equity
Years ended December 31, 2010 and 2009 (tabular amounts in thousands of dollars)
2010 2009
Sales $ 190,604 $ 195,437
Costs of sales 141,286 142,710
49,318 52,727
Selling, general and administrative 34,341 33,784
Earnings before the undernoted 14,977 18,943
Other expenses:
Interest expense 103 178
Foreign exchange loss 14 2,370
Loss on disposal of equipment 6 –
Co-tenancy expense 84 175
Loss – rental property investment 3 148
210 2,871
Income before income taxes 14,767 16,072
Share
capital
Contributed
surplus
Retained
earnings
Total
shareholders’
Equity
Balance, as at January 1, 2009 $ 13,061 $ 512 $ 56,211 $ 69,784
Cash consideration on exercise of stock options 36 – – 36
Ascribed value credited to share capital
on exercise of stock options 20 (20) –
Stock based compensation expense – 140 – 140
Share repurchase and cancellation (158) (6) (751) (915)
Net earnings – – 9,631 9,631
Dividends – – (1,173) (1,173)
Balance as at December 31, 2009 $ 12,959 $ 626 $ 63,918 $ 77,503
Cash consideration on exercise of stock options 55 – – 55
Ascribed value credited to share capital
on exercise of stock options 28 (28) – –
Stock based compensation expense – 373 – 373
Share repurchase and cancellation (74) (3) (507) (584)
Net earnings – – 9,710 9,710
Dividends – – (1,504) (1,504)
Balance as at December 31, 2010 $ 12,968 $ 968 $ 71,617 $ 85,553
Income tax expense: (Note 9)
Current 4,520 5,679
Future 537 762
5,057 6,441
See accompanying Notes to Consolidated Financial Statements.
Net earnings and comprehensive earnings $ 9,710 $ 9,631
Earnings per share: (Note 11)
Basic $ 0.84 $ 0.82
Diluted $ 0.83 $ 0.82
See accompanying Notes to Consolidated Financial Statements.
32 CONSOLIDATED FINANCIAL STATEMENTS
Hammond Power Solutions | Annual Report 33