Global blade manufacturer TPI Composites narrowed losses in the first three months of the year despite facing multiple COVID-19 challenges.
The US-based company reduced its net loss to $500,000 in the first quarter, compared with a $12.1m deficit in the year-ago period, thanks to a 19% increase in sales to $357m and higher average selling prices.
The profit and loss account took a $9m hit due to reduced production levels at its Chinese production facilities related to the pandemic.
“Despite the challenging environment driven by COVID-19, TPI delivered better than planned results for the first quarter growing net sales by 19%. We continue to benefit from reduced cycle times and aggressive supply chain management,” said Bill Siwek, TPI president.
“Our facilities in China have recovered quickly following the shutdown in the first quarter. India remains on track with our internal expectations and we are currently operating at full capacity in Turkey. Our manufacturing facility in Iowa restarted production at a limited production level on May 6, 2020 after a temporary shutdown due to a significant number of cases of COVID-19 detected.”
However, Mexico is the company’s “biggest challenge” as plants there are shut or operating at 50% due to government-imposed pandemic restrictions.
Chief executive Steve Lockard (pictured) added: “While the COVID-19 situation has impacted our normal course operations, our number one priority is the health and safety of our employees and we’d like to thank them for their tireless and continuous efforts during these challenging times.”